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Once again, time to brace for pain at the pump

Posted: February 25, 2012 - 3:43pm

Once again, geopolitical issues have led to a spike in the price of crude oil — North Slope Crude hit $124 a barrel this week — which has led many analysts to predict prices at the pump will hit $5 a gallon in the near future.

Closer to home, here in Alaska we continue to face a conundrum over gas prices: oil is produced and refined here, yet we consistently pay higher prices at the pump than the rest of the nation. It’s a situation that gives rise to plenty of theories, most of which center around oil company conspiracies to gouge the consumer.

In early 2009, the Alaska attorney general’s office investigated gas prices in the state and found no evidence of illegal price-fixing among sellers. Its report cited market conditions specific to Alaska for causing gas prices to stay high.

Even closer to home, one of the biggest gripes is the difference in price at the pump between the Kenai Peninsula and Anchorage. Certainly, there are economies of scale and other factors, but one of the biggest factors to keep in mind is that there is a sales tax collected on the Peninsula, while no sales tax is collected in the big city. Ask any local merchant; sales tax — and the competition with merchants who don’t have to charge it — is a big deal for local business.

Don’t get us wrong — we’re not at this point arguing for a cut to the sales tax. Sales tax revenues are an important part of Peninsula municipal budgets. Steady sales tax revenue keeps property taxes low, and the sales tax collected by the borough is dedicated to education, certainly a priority in our book.

Our intent is simply to point out the biggest factor in the difference in prices at the pump, to dispel the myth that it’s entirely an oil company conspiracy. If you do the math, it comes out like this: If you buy gas within city limits, you pay 6 percent in sales tax (3 percent to the borough, 3 percent to Soldotna or Kenai). At $4 per gallon, that 6 percent works out to 24 cents per gallon, which is usually about the difference in price between the Peninsula and Anchorage.

There may not be much we can do to change the geopolitical situation, but with the possibility of $5 a gallon gas on the horizon, there are some things we can do to soften the blow.

First and foremost is conservation. Obviously, newer, technologically advanced vehicles will get better gas mileage than an old clunker. If your vehicle gets 18 miles per gallon, at $5 per gallon, that’s roughly 28 cents a mile. If a new set of spark plugs, clean filters, a well-tuned engine and properly inflated tires can make your vehicle more efficient — say 20 miles per gallon — your average cost per mile drops to 25 cents a mile. If you drive 1,000 miles a month, the savings is $30. It may not sound like much, but it adds up — and depending on your vehicle, a good mechanic may very well be able to squeeze more than just a 2-mile-per-gallon improvement out of your ride.

While we’re doing the math, it wouldn’t hurt to budget a little more for gas money into our summer plans. And another obvious way to conserve is by driving less. If you can, consolidate all those errands into one trip. Set up a carpool with your coworkers, or the parents of your childrens’ classmates if they regularly get a ride. And it may still be a little wintery for most of us to consider at the moment, but as things warm up, think about bicycling or walking to work. In fact, there’s a new local cycling club forming, and plans for bike-to-work week are in the works.

Prices at the pump likely will continue to be a sore spot for Alaskans for the foreseeable future. Planning ahead, with the family budget, vehicle maintenance and potential efficiency measures, will make it a little easier to ride out the anticipated increase in price.

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Jerry 02/29/12 - 10:07 pm
So please explain to me how

So please explain to me how the demand for gas now, which is at a 15 yr low is causing the price of oil to sky rocket?
Make no mistake folks its all a control thing & Big oil/Federal Govt. are involved in it, with the help of Alaska Government i would also add.
Tell me how other nations that produce oil which are not Canada or America can charge very little for their gas to their citizens?
Its not a lack of oil for gas, its a lack of refineries that produce that gas thats the trouble, and its a planned thing for the control of economies & people, as in Americans & Canadian middle class, some of the wealthest people in the world.
Its one of the steps towards bringing every one into an equal society of have nots, unless one is filthy rich.

As i have warned before its about to get far worse with this gas price thing which affects every aspect of life for ALL.
When the price of gas goes up, so does the price of every thing thats bought or sold, all due to transportation costs, and thats a world wide increase ment to cause more debt or control of those that can't afford it.

When one factors in the Muslims desire for a One World Leader, and the promise that Obama, the Chosen One, would usher ALL the world into a New One world order, is it any wonder that we see all the movement towards that OWO that Gods word says is coming with its Single Ruler & Religion?

As i have warned before the Muslims believe their Mahdi, their messiah will come forth some yr in the month of March after a war has been started killing millions of people.
Iran does not have a nuke, they have the ability to cause, provoke an attack by the UN, America & Israel on some Muslim nation, all this will provoke a major confrontation, WWIII by many nations.
Or can ya say possibly Syria being distroyed starting it? Can ya say possibly Russia, along with its many Muslim allies, such as Iran attacking Israel & America due to this? Remember Russia has said do not attack Syria, or Iran, because they, Russia, will not stand by and allow this to happen.
Can ya see Ezekiel 38; 39; happening, which says tha Russia, Iran & others will attack Israel, all of which i think will happen after Isaiah 17; the distruction of Damascus, Syria comes to pass?

Make no mistake folks its almost show time for the End times prophecies of Yahweh God to begin, all of which will lead to the OWO mentioned in Revelation 13;, and the Muslim messiah, & single religions control, its gonna happen just as Gods word says it will, so please get ready to meet your maker one way or another, either as Savior, or Judge.

Please wake up and look at whats really happening World wide for the Total control & submission of ALL people, its not just the EU thats starting to fall due to unsustainable debt, now is it? And with the threat of oil over $150-$200 dollars a barrel its gonna cause the vice to clamp down even further on many people making them wish for that special man to deliver them from this economic morass. That special OWO leader is coming soon to a world near ua all, are you ready?

robert white
robert white 02/29/12 - 12:44 pm

drill baby drill, words of wisdom.................whoever coined that phrase.......

Jerry 02/29/12 - 10:16 pm
I would rather say Refine,

I would rather say Refine, Baby Refine, as we have more wells already drilled in Alaska alone than we can pump oil out of, if we would just uncap those already drilled wells & build refineries.
Refie, Baby Refine is whats needed to lower gas prices & they just don't want to build any refineries to eaze the pain at the pumps, as that would defeat their purpose of controling people.

Buy rice & beans & all basic commodities while the prices are where they are as they are about to shyrocket beyond our imagination along with every thing else.
We are in trouble deep, and its about to get worse.

Isn't it funny how people just want to pretend that its gonna all get better if only they refuse to accept what is clearly seen all around us daily with all the signs pointing to trouble?

kenai_kid 03/01/12 - 11:59 am
Oil oil everywhere???

Please do tell where these drilled oil wells are in Alaska. Currently we are at 1/3 (<700 bbl/d) of the pipelines capacity and TAPS is fast becoming economically marginal to operate. Higher fuel costs also touch the producers wallets!

Refiners on the west coast, until recently (Cherry Point incident) were operating at 80% capacity. Cherry point which was built to handle the majority of production from the North Slope now has 60% of its feed stock coming from other markets.

There were similar dooms day-ers in the early 70's when the embargo shook our economy, and again in the mid 90's and now one more time again. As a matter of fact, gasoline, as adjusted for inflation, has risen 27% since 1958, while a gallon of milk has risen by 62% in the same time frame, bread ... 54%.

Is there going to be dramatic change in the coming 12 - 24 months? It is almost certain! Is it going to be cataclysmic or of biblical proportions? Possibly, but not necessarily. Is it going to be the first day of the end of times? Nope! That day was a very long time ago. Every day we are one day closer to the end of time. Geopolitics will most definitely be the driver. What happens with Iran will be crucial to the world economy and yes, oil will be at the center of it. If Iran develops a nuke and blockades the Straight of Hormuz we would very easily see $7- $8 per gal gasoline and it would spiral upward from there. Yes, the economic consequences would be crippling globally. The response to such a blockade would determine what happens from that point. There are simply to many possibilities to make a definite prediction. Israeli attack? US intervention? Iranian upheavel? Any number of outcomes will determine what happens and the affect it has on the globe.

Now, for the oil producing nations and cheaper gas prices that they afford their citizens. UAE, Nigeria and Venezuela all subsidize their refiners and therefore can sell gasoline at a fraction of its worth. Brazil exports more oil than they consume as they are a major producer of cane ethenol (much higher BTU value than corn) and thus they sell cheaper ethanol rich gasoline. Norway, also a major oil producer (North Sea) has gasoline prices slightly over double what it is in the US as they do not subsidize the refiners and heavily tax the citizenry. This is why fuel efficient vehicles have been in use in Europe for 25 years.

As for preparing for the end of times... Why? The planet will be uninhabited ... without people! I choose to live life while I am here and not fear the judgement of my God as I have lead a good and believing and Christian life. I trust in the fate he has chosen for me! Heck, I may not make it to that fateful day that Jerry predicts. I may fall down the stairs and bust my head opened or have a car wreck and be killed, or I may suffer a heart attack and POOF there it is ... the end of times ... for me! My end after all is a time of Gods choosing.

Jerry 03/01/12 - 06:26 pm
You go kenai_kid, sounds like

You go kenai_kid, sounds like you got it all figured out with no need for you to do any preperation whats so ever. What say we continue to try & help others that are not as prepared as you?
I don't know exactly what branch of christianity you believe in, but it sure sounds differant from mine & what my God & savior Jesus said to warn others of coming judgement so they can prepare. What i say seems to differ greatly from what you have to say concerning others.
My God & savior have forewarned people of what will happen & your right, its all gonna happen right on time, all according to Gods time table not mine or yours.
One thing though, earth will always be inhabited, even the new earth after the fire of Gods judgement burns this one up, its that new growth after a fire thing.
Have ya ever read 2 Peter 3;? Its a GR8 explanation of last days people that mock others that are saying prepare for the day of the LORD, it explains how God is not slow in his promises of judgement, now at 2000 yrs, or 2 days as a day is like a 1000 yrs to God.

I will say this, i do appreciate your opinion as well as every one elses, even if we don't totally agree, and one of us seems to be unwilling to obey Gods commands to help people prepare for coming tribulation.
Praise God we're not like some people that want to kill others for their beliefs or opinions which may differ from theirs.

Have a GR8 day & be careful as you could also slip on the ice or a plethora of other things could happen like the roof cave in to the excess snow, but your set for eternity, so every things gonna be ok for you.
Its the others that are not set for eternity that i fear for & wish to help prepare as Jesus commanded me to do.

kenai_kid 03/01/12 - 11:21 pm
Prepare? Or repent?

Jerry, I have prepared my entire life. I prepared by living a good and decent Christian life. I ask people to judge not lest they be judged. I ask people to try to the best of their ability to live in Christ's shadow and lead by his example. All good people should not need to prepare if they have lived a life that is not only true to themselves, but true to God. I started my preparation at baptism.
Thank you as well for your opinion and thoughts. They are very much appreciated and even somewhat entertaining. I do have one question for you. You seem not only convinced, but absolutely certain that major global upheaval is imminent in the next 30 days. Does this mean you aren't filing your income taxes this year? I mean really ... what's the point???

Norseman 03/02/12 - 08:42 am
I remember when I have

I remember when I have visited the larger cities in the lower 48, you always would find one or two people walking the streets with a sandwhich board sign declaring the "END IS NEAR!!!"

Now those who have the internet do not have to stand out in the cold or walk the streets. Progress and technology.

Jerry 03/02/12 - 12:37 pm
kenai_kid, very good, and

kenai_kid, very good, and thats what i said above about those that are good to go need to be reading Gods word & following in Jesus' foot steps, not his shadow.
It's those that are not ready & good to go, that Jesus said i was to try & reach.
Your correct every thing is in control by Gods hands & will all happen at just the right time.
I said that i believe trouble is coming in the next few weeks, this of course is due to all the preperation for war in the middle east which lines up with last days Bible prophecy.

One must realize from what Bible prophecy says about the last days which revolve around the regathered JEWS, back in THEIR LAND which Gods gave them & said that he would regather them from all corners of the world after 2 days, or 2000 years, and that they, the JEWS would be under his subjection for the 3rd day, or 1000 year reign. Hosea 6:1-2.

Then there is Joel 3:2, and Zechariah 12:2-3, 8-10, 14:2-4, 12-13, in these verses one can see that these are last days prophecies which invole the JEWS back in Israel with ALL nations against them.
God says that he will make ALL nations drunk, stupid with their desire to control His Land, People & City of Jerusalem, God also says that he will draw them to the mountains of Israel for their judgement for their actions against His choosen.
When you read Zechariah 14; 12-13 one can see that God knew about nukes & that they would be used against those that invade the land of Israel.
God warned Russia, Turkey, Iran, Lybia, Sudan, Etheopia and others that he would drag them into Israel for their distruction, is this not what we see for the first time in history, all of these are allies against Israel? Ezekiel 38;-39;

My son a shyview grad thats been in the Army Rangers for 16 yrs now should be on his way home from Afgan as i type, praise the Lord.
But many men & women are not on their way back, in fact the US just sent 20,000 troops to the Gulf of Amman & 5000+ to Israel for whats about to happen.

One must realize that Muslims want to start a war any way they can some March in belief that their messiah, the 12th Imam, Mahdi will come forth after this war with Israel that kills millions.
Funny thing is they also believe that their messiah will make a treaty with Israel for 7 yrs after this war as he sets up his Sharia Law kingdom, a kingdom that everyone must join or die for rejecting him. Sounds just like the Bible and Revelation 13;

I don't know when Jesus will return for the Christians to start this last 7 yr kingdom of Satans, but i do believe it is very close and with the First of the 7 Feasts of God that were given to Israel about to start on Passover, April 6, i would say that if this is the year that it has to start real soon.

One must realize that Satan wants to redo every thing God has done with his own plans, kingdom, a kingdom which also involve a false christ & false holy spirit & total control of Gods choosen, Jews, land & Holy city, Jerusalem.
If Satans followers can remove any trace of Gods choosen then they think they will win, they won't, but they will continue to try until Christ Jesus defeats them at the Battle of Armageddon at the end of the 7 yrs.

So my job as a follower of Christ Jesus is to try & warn others that trouble is coming in the form of a One World Order & its ONLY this generation that has all the players in place to accomplish these prophecies of God.
God is moving all the peices into place for the start of the Last Act at the End of this Age, Era of Time, all of which will usher in the New Era of Time which will be Christs rule for 1000 yrs.

Please watch the signs as the News shouts them daily that the Bible is true & Gods about to finish up this age of Gentiles, with judgement on all that reject his son, Yeshua as the ONLY way. John 14:6

For instance one sign is that Russia will vote Putin in as Prez. again on Sunday. Putin has said that Russia will not allow the UN/America to invade Syria as they did Lybia.
When one looks at Ezekile 38;39; one can see that Syria is not mentioned with the allies of Russia & Iran. What happened to Syria? Could it be Isaiah 17; the prophecy about Syria, Damascus to be exact disappearing over night from a conflict with Israel?
Damascus is one of the oldest cities in history & has never been destroyed, never, but Gods word says that its gonna happen someday.
Could that day, the day Damascus is destroyed be the hook in Russia & Irans jaws, which Gods says will drag them out of the north into the mountains of Israel for their judgement from God.

So as long as i have the tools like this site to try & warn others that trouble is coming i will do so.
I am not saying sell everything & sit on a Rock like the Millerites did in the 1800's or the heavens gate folks that killed themselve when Hallies comet went by, or Jim Jones & his followers did in Africa when they drank the Koolaid.
We must keep on working while it is day, which means while we are allowed to do so, as the night, evil times are coming when we will not be able to use these tools to help others & will be killed for doing so.

Yes, this year i Leaped into filling my taxes on the 29th.


Have a GR8 Day, and Titus 2:13.

Norseman 03/02/12 - 02:18 pm
...and so endeth the

...and so endeth the lesson.......

Holy Moly!!!!

The topic of this post was rising gas prices and we get bombarded with a sermon from an End of Time fanatic.

kenai_kid 03/02/12 - 02:57 pm

And your relevant input on the topic was???

kenai_kid 03/02/12 - 04:44 pm

Surely you are kidding!
From my first post:
"Geopolitics will most definitely be the driver. What happens with Iran will be crucial to the world economy and yes, oil will be at the center of it. If Iran develops a nuke and blockades the Straight of Hormuz we would very easily see $7- $8 per gal gasoline and it would spiral upward from there. Yes, the economic consequences would be crippling globally..."

"...oil producing nations and cheaper gas prices that they afford their citizens. UAE, Nigeria and Venezuela all subsidize their refiners and therefore can sell gasoline at a fraction of its worth. Brazil exports more oil than they consume as they are a major producer of cane ethenol (much higher BTU value than corn) and thus they sell cheaper ethanol rich gasoline. Norway, also a major oil producer (North Sea) has gasoline prices slightly over double what it is in the US as they do not subsidize the refiners and heavily tax the citizenry..."

I was addressing some of Jerry relevant comments that pertained to gas prices and geopolitics and yes ... religion.

Now that we have that out of the way, what would you have to add to the topic?

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