why is diesel fuel SO much more expensive then gasoline yet is much cheaper to produce?

Answer 1

There are a couple reasons that Diesel costs more than gas, the main one is state and federal taxes..Road taxes...the 2nd is that diesel used to be a waste product and cheap to use as fuel, but things have changed with the EPA and the reduction of sulphur in the fuel..that adds several steps b4 the finished product..more steps..more cost to the user

Answer 2

At one time diesel was cheaper to produce than gasoline but the goverment's new regulations on sulphur content in diesel ("clean diesel") has driven the cost of refining way up.That combined with the big road taxes (commercial trucks use a lot of fuel) that are added by the States has driven the price of diesel past gasoline's.

Answer 3

Diesel was once plenty greater fee-effective than time-honored and top rate gasolines back interior the 70's and 80's. It was once seen waste product from refining fuels. this is why it replaced into so low priced... it replaced into seen rubbish. beginning up interior the ninety's and 00's tighter emissions standards in Europe and North usa required diesel to be sophisticated plenty greater to do away with the sulfur and particulate remember from the gasoline. So, you are able to thank tighter emissions standards for why diesel now expenses greater in line with litre (or gallon) than all different fuels.

Answer 4

not so much of road taxes because in mo. road tax on diesel is .41 cents per gallon. it's because china is buying all the diesel they can get their hands on. i drive a diesel p/u and commercial vehicals also, price is because of supply demand because clean diesel is playing a role in the supply part right now.

Answer 5

Road taxes.