Day Of Action On Fuel Prices

[imadoofus]

What would you have them do?

I wouldn't have them do anything. I was merely pointing out that the government is not the only party to gain from high fuel prices, before we all drift off into another "blow up the Houses of Parliament" drone.

I am a capitalist, and I applaud a company's ability to generate a profit.

 

[Benzowner]

It is interesting to note that a spokesman for shell said the increased profits were due to the increase in crude oil prices. Is there any reason, therfore, to reduce these current high levels of crude and subsequent high petrol prices?

 

[Nik_Endeavour]

Well considering that the government takes 85% of the price of oil in tax I think they could cut the prices. For the last month or so I have seen the prices go up by 1-2p every week. The UK was supposed to not suffer the increase of the crude price because of high levels of taxation (which the government can lower to cushion the effect) but instead some idiot decided that fuel duty should increase instead.

 

[imadoofus]

Well considering that the government takes 85% of the price of oil in tax I think they could cut the prices.

For a litre of petrol costing 108 pence, approximately 33 pence goes to the oil company, 9 pence to the retailer, 50 pence fuel duty to the Chancellor of the Exchequer, and 16 pence VAT to the chancellor

I don't know if the BBC is correct or not, but their numbers suggest tax is only 61%

 

[gbjeppm]

Another genuine question Bill. How do the oil companies make profits from exploration and production if not from selling the end products?

No doubt the high market barrel price is helping production revenues significantly at this point in some types of production agreement (not all, some countries will limit the take).

The bottom line is global Geopolitics is impacting the price of the barrel, not the oil companies.

 

[DaveK]

Prices in my neck of the woods have been changing on a daily basis ( only up mind you ). Certainly profiteering as even the mention of the truck drivers protest in London, led to Esso on the East Lancs Road putting derv up to £1.25.

 

[RoseTattoo]

No doubt the high market barrel price is helping production revenues significantly at this point in some types of production agreement (not all, some countries will limit the take).

The bottom line is global Geopolitics is impacting the price of the barrel, not the oil companies.

Spot on. And agree with all the sensible arguments regarding profit margin etc. These companies are doing the right thing, in the right way. The government has to fund hospitals, schools, the defence services and so on and has to extract as much tax as it can to cover these costs. The problem is that it is a declining asset in world of increasing demand. There is only one way for the price to go and it is not down. This morning the Ft reported Opec forecasting $200 before long and, in my view it will go beyond that until it begins to hurt uniformly across teh world to a degree that we change our habits. And it will make no difference if 10,000 Hauliers protest before Parliament. Parliament cannot fix it.
Thus, short term, by all means panic buy, but long term, consider your lifestyle, working habits, working location and general travel habits.

 

[gbjeppm]

The other thing to consider is that as the price of Crude Oil goes up, it makes the viability of extraction of "difficult" oil more possible.

We are seeing examples such as the Canadian Oil sands which at $50 was not profitable, but at the current price certainly is. Extraction techniques are changing over time, so more Oil can be extracted from existing fields with more investment in new technology etc etc

 

[BTB 500]

Another genuine question Bill. How do the oil companies make profits from exploration and production if not from selling the end products?

They sell crude to other companies.

 

[st4]

according to the BBC there was about 65 trucks - well that showed the government then didn't it?

Half a***d (oops that slipped through the swear filter ) protests serve no purpose, in fact they just leave the protesters wide open to ridicule and show them how isolated they are

Now, if every truck in Britain had stopped where it was for 15 minutes at a preset time - that would have shown some sort of unity

Andy

I agree, I'd like to see a much greater strike/protest to voice the opinion about rising fuel prices. A few won't have an impact, but a mass one would, i.e. the sort of protest that the police couldn't move on.

 

[c240yaz]

What most people don't grasp, or even compute, ......if the price of Diesel increases, everything increases. Every poduct we buy from food to consumeables arrives by hauliers trucks, and they do not get enough recognition.

Do a night drive on the M1 or M6, or any other major antributory, just to realise the amount of trucks that are working, keeping this country moving. If they stop, everything will stop.

 

[DaveK]

You protest in this country and the police crack skulls.

 

[television]

What most people don't grasp, or even compute, ......if the price of Diesel increases, everything increases. Every product we buy from food to consumables arrives by hauliers trucks, and they do not get enough recognition.

Do a night drive on the M1 or M6, or any other major antributory, just to realise the amount of trucks that are working, keeping this country moving. If they stop, everything will stop.

One large haulage firm said that their cost have gone up £30k per month

 

[scumbag]

You protest in this country and the police crack skulls.

Golly

 

[Dieselman]

I agree, I'd like to see a much greater strike/protest to voice the opinion about rising fuel prices. A few won't have an impact, but a mass one would, i.e. the sort of protest that the police couldn't move on.

I fail to see how a strike or protest to the Government will make any difference at all. The rise in fuel prices is down to the cost of the product not the duty.

In addition the haulage industry is on a sticky wicket protesting as they had a reduction in RFL after the yr 2000 disputes to assist them.
This is why the RHA won't back any current disputes.

The only protest that will work is for people to use less oil.

Real duties peaked at around 55p/litre for unleaded and 58p/litre for diesel in 1999
(diesel duties fell back from July 1999 owing to the introduction of ULSD,
which had a lower duty rate). There followed a period of around two years in
which real duties were roughly constant. Since 2001, they have been gently
declining. The duty rate of 47.1p/litre in March 2005 was the lowest, in real
terms, since June 1997 for both petrol and diesel.

Current duty is 50.35p which is nearly 10% lower than in 1999.

 

[DaveK]

'Real terms " ..that much loved phrase that means naff all to your wallet in 'Real " life.

 

[Dieselman]

Who said "real terms"?

The figure is a real figure which means there has been a definate reduction of duty in "real terms" when inflation is taken into account.

 

[ckember]

just a note to the fuel prices in the Uk. I hate paying higher prices at the moment and am currently in Finland so checked out the prices here.

Diesel is 1.25euro per litre unleaded is 1.41 euro per litre.

or 1 pound for diesel and 1.23 for unleaded. Now if Finland can have it this way why not us?

 

[Dieselman]

just a note to the fuel prices in the Uk. I hate paying higher prices at the moment and am currently in Finland so checked out the prices here.

Long way to go to fill up though..

 

[RoseTattoo]

I agree, I'd like to see a much greater strike/protest to voice the opinion about rising fuel prices. A few won't have an impact, but a mass one would, i.e. the sort of protest that the police couldn't move on.

How can there be any doubt about the opinion? The Government undoubtedly shares that opinion too. It is about the same as complaining to the Governemnt about the weather. It's you, me and 2Bn other people that cause the problem. They are the ones to whom you should be addressing the protest.
Better to think about what you can do.
If they haven't already the road haulage companies and those whose businesses are affected by transport costs (all?), should be aware that they can take modest measures to build in a little protection in the same way as airlines and other international companies.
This problem will become far, far worse in UK and Europe, once the dollar starts to recover. Thus step 1, hedge aginst this by buying dollars or options on the future price. Similarly with fuel; airlines hedge against rises by buying options on the future price. It does not compeltely avoid the rises but it does delay the pain.