Im sure there is a reason like there is more oil content or something but the gap between the petrol and deisel seems to be getting wider. Is it just because they think they can charge more because the public does not use as much? Whats the cost differential in other countries?

 

I've wondered this for quite some time too, I fear the latter.

IIRC Diesel doesn't need to be refined as much as petrol so logic would say that it should be cheaper if anything.

 

Isn't it something to do with the global demand vs supply vs output. The refineries for diesel do not output as much as they can for petrol. Just something I remember reading somewhere.

 

https://www.s2ki.com/forums/index.php?showtopic=582185

 

Having a chat with my stepdad a few weeks ago who lives in France, I understand diesel is a lot cheaper than petrol there.

Therefore I suspect the relative price of petrol/ diesel is heavily distorted by UK tax.

No idea of the base costs of diesel vs petrol though - but my instinct says diesel should be cheaper to produce.

 

Erm.. Tax.

I used to have a diesel when they were unfashionable.
Diesel was way cheaper than unleaded.

As joe public bought more diesel cars, the man in No 11... was probably noticing a dip in revenue...

Now circa 50% or car sales are diesels, they do more MPG ... less revenue for the taxman.

So..bump up the price....and the books balance.

 

The refining cost difference is marginal, since you're buying liquid tax.

It's all politics:

North Sea oil is too light for much Diesel, so it has always been expensive here.

The French always side with their arab connections, and gulf crude is heavier & gives off more Diesel, hence it's always been subsidised by petrol in France!

 

I've seen the differential up as high as 8p, with even V-power less expensive than Diesel.

One article I read in Car & Driver recently has the following comment about Diesel refining:

[COLOR=blue]oil refineries tend to fall into two categories: catalytic cracking and hydrocracking. Most U.S. refineries are set up for catalytic cracking, which turns each barrel of crude oil into about 50-percent gasoline, 15-percent diesel, and the remainder into jet fuel, home heating oil, heavy fuel oil, liquefied petroleum gas, asphalt, and various other products. In Europe and most of the rest of the world, refineries use a hydrocracking process, which produces more like 25-percent gasoline and 25-percent diesel from that barrel of oil. So the rest of the world is already maximizing diesel production. In fact, despite using a refining strategy that minimizes the production of gasoline, Europe still ends up with too much of the stuff, so it exports it to America

 

Diesel at our nearest petrol station is 123.9 last time I filled up (BP) - I do remember when it used to be a fair bit cheaper than standard unleaded, but it's def. way more pricey now! I've always assumed tax, and consumer demand.

 

Just filled the Golf up with V-power Diesel @ 120.9p per litre.