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fuel prices and travel


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#1 OFFLINE   FedAgent

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Posted 21 February 2012 - 12:09 PM

This will not turn into a political discussion on who or what is to blame for our current and future prices of fuel, we all have our own opinions on this subject, and they are just that, opinions. What I am interested in talking about is at what point does the price of gas or diesel start to alter plans, Down here in Texas prices go up every day, sometimes twice a day. Our forecast here is that in 2 to 3 weeks, the price of gas will be $4.00 or more a gallon, 30 to 40 cents more for diesel. The "profits of the future" are talking about $5.00 a gallon by Memorial Day. I know in my case, that is getting pretty close to a point where I will not be able to justify driving to and from Yellowstone for my normal summer job out there. So, where is the break point for pleasure use of an RV, of whatever class you have? Some of the "experts" are saying $6.00 or $7.00 per gallon is not out of the realm of possibility in a couple of years.
Larry,<br />Corpus Christi, Tejas<br />2007 Lazy Daze Class C and a 2005 Jeep Wrangler toad<br />04 Dodge 3500, Cummins<br /><br /><strong class='bbc'>Only two defining forces have ever offered to die for you: 1. Jesus Christ. 2. The American G.I. One died for your soul, the other for your Freedom. </strong><br /><br /><br /><span style='font-family: Arial'><span style='color: #FF0000'>"We sleep safe in our beds because rough men stand ready in the night to visit</span></span><br /><span style='color: #FF0000'>violence on those who would do us harm." - </span><span style='color: #000000'>George Orwell</span>

#2 OFFLINE   RedneckExpress

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Posted 21 February 2012 - 12:25 PM

I'm keeping a close eye on it, my big cross-country trip is budgeted at 4.009 a gallon, a shift up to $5.009 will add a ~ $1000 to the overall cost of the trip.

Sadly, it will be the first and last time in the near future I will make that big trip until the artificial price problem is resolved, if it ever is. It definitely puts damper on there ever being a "Great California Adventure 2" given that california is usually close to a buck higher than the rest of the country.

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#3 OFFLINE   the tc life

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Posted 21 February 2012 - 12:26 PM

lol, my wife and i were just talking about that this morning. for us....we will still travel. i mean if it gets to $9 a gallon then that would be something different. i would think around $6-7 per gallon for us before we would think about changing plans. now that being said, we would stop going out to dinner and stop some other luxury spending first. we believe you only live once and im going to go see places as long as i can. heck if i were to wait around for prices to drop.....i may just be too old to go travel.

so my answer...most likely the $6-7 price range per gallon for us.

on edit: that was for "gas"

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#4 OFFLINE   RedneckExpress

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Posted 21 February 2012 - 12:29 PM

lol, my wife and i were just talking about that this morning. for us....we will still travel. i mean if it gets to $9 a gallon then that would be something different. i would think around $6-7 per gallon for us before we would think about changing plans. now that being said, we would stop going out to dinner and stop some other luxury spending first. we believe you only live once and im going to go see places as long as i can. heck if i were to wait around for prices to drop.....i may just be too old to go travel.

so my answer...most likely the $6-7 price range per gallon for us.


I've already cut out alot of my other luxuries for roughly a year to finance one cross-country trip of 5700 miles at my original figuring @ 4.009 a gallon, I'm still trying to figure out where the extra $1000 is going to come from. 2012 may very well be the year that the KIT never moves if the big trip falls through.

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#5 OFFLINE   larryjj

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Posted 21 February 2012 - 12:59 PM

We are close to $6.00 / gallon here in the lower mainland of BC for diesel.

Yet we can cross into Washington , USA, and purchase Candian fuel that is shiipped into the US for less then it is retailed here.

Still the fuel prices are out of reach for many people.

Is there actually a resaon for such high prices or is it just greed ?

#6 OFFLINE   stuwu4s

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Posted 21 February 2012 - 02:33 PM

we had planned to drive out West this year. either to NM for the Ballon Fest or to Calgary, Canada for the stampede, but not now.
living on the East coast we have to drive 2000 miles just to get to the starting point. So we have decided to just stay close to
home and take short trips. Diesel is already $4 or more here.
I feel for those who depend on tourism for a living.

Getting back to the question 'how high of a price'. Well, it is at it now. I can go trout fishing a couple of hours away,
leave in the morning and come back in the afternoon. Sounds better as I type it.

Edited by stuwu4s, 21 February 2012 - 02:40 PM.

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#7 OFFLINE   RedneckExpress

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Posted 21 February 2012 - 02:46 PM

We are close to $6.00 / gallon here in the lower mainland of BC for diesel.

Yet we can cross into Washington , USA, and purchase Candian fuel that is shiipped into the US for less then it is retailed here.

Still the fuel prices are out of reach for many people.

Is there actually a resaon for such high prices or is it just greed ?


99% of fuel prices currently are entirely driven speculation on Crude Futures. Currently, one does not have to take delivery of any drop of that oil before you can sell it off again, so it's all a paper game. Alot of fuel's volatility would settle out if some of the regulations that used to control crude future speculation were put back in place. The original futures market was meant for the buying of large quantities of fuel for groups like the railroads, but has been deregulated to the point now that people are using it as a betting game.

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#8 OFFLINE   Tillerman

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Posted 21 February 2012 - 03:05 PM

I look at it a bit differently perhaps, but there are likely others the same. As the price of fuel rises, profits for the oil companies rise, leading to new explorations and more development. This brings an increase in the stock price of many of the companies that make up parts of an investment portfolio that sustains us.

As confidence in the economy grows and the future starts looking brighter, consumer costs rise to keep up with demand, profits rise to reflect the increased production, and stock values then rise.

The NYSE recently set a high mark that had not been seen since 2008. That has been reflected in market holdings.

#9 OFFLINE   PigPen

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Posted 21 February 2012 - 03:37 PM

Its $2.98 a gallon US for diesel down here in Mexico. I guess I will make sure I have a full tank before crossing back into the US.

I will be spending the summer in a rental car in Europe. I suspect the fuel prices in Canada & the US will seem like a bargain when I get back.

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#10 OFFLINE   Tillerman

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Posted 21 February 2012 - 04:04 PM

A few years ago when we had a brand new automatic rented diesel Vauxall for three weeks in Scotland and England, I just told myself that the price per mile was about what I would pay if we were in the camper. The Vauxall was a sweet ride and got over 40 miles per gallon, the truck and camper are equally nice and get about 1/3 as far per gallon.

It's just a mindset. Apparently the price in Greece now is about $10 to $12 a gallon..

#11 OFFLINE   wirenut

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Posted 21 February 2012 - 06:01 PM

I don't beleive any of the so called predictors of 5, 6, 7 or more dollars per gallon.
Back in 2007 gas shot up and everyone was saying the same thing. It leveled off at about $4 and then dropped. I think that is simply the point where people do curtail their usage enough that the deman drops and brings the price down. It's good old supply and demand at work. Now, with additional negative political influences the tipping point is probably a bit higher but I doubt by much. I predict $4.50 to $5 per gallon for gas will be the top and then it will drop again. If it even get's that far.

#12 OFFLINE   FedAgent

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Posted 21 February 2012 - 07:38 PM

We have several companies here in South Texas that are in the oil and gas business, both drilling and exploration as well as refining. I was at a meeting Monday where several people I know who are oil field related were talking about this topic. Production in the Gulf is pretty much down to a trickle and will continue at this decreasing level for the foreseeable future. Most of the large, deep water rigs have left the Gulf and are now in Brazil. New regulations have caused additional expenses for drilling and more obstacles to overcome to begin exploration. Bottom line, in their minds, there is not a doubt in their mind that five dollar a gallon for the spring travel season is a certainty. As far as I was concerned, what was more startling was their opinion that not too far in the future, a $5.00 per gallon price would seem like a bargain.
Larry,<br />Corpus Christi, Tejas<br />2007 Lazy Daze Class C and a 2005 Jeep Wrangler toad<br />04 Dodge 3500, Cummins<br /><br /><strong class='bbc'>Only two defining forces have ever offered to die for you: 1. Jesus Christ. 2. The American G.I. One died for your soul, the other for your Freedom. </strong><br /><br /><br /><span style='font-family: Arial'><span style='color: #FF0000'>"We sleep safe in our beds because rough men stand ready in the night to visit</span></span><br /><span style='color: #FF0000'>violence on those who would do us harm." - </span><span style='color: #000000'>George Orwell</span>

#13 OFFLINE   FedAgent

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Posted 21 February 2012 - 08:33 PM

I look at it a bit differently perhaps, but there are likely others the same. As the price of fuel rises, profits for the oil companies rise, leading to new explorations and more development. This brings an increase in the stock price of many of the companies that make up parts of an investment portfolio that sustains us.


Your statement may sound a bit harsh or selfish to someone who does not have a stock portfolio or have large investments in energy companies. A sizable increase in fuel prices has a significant impact on a majority of people in North America. If you are living from check to check, hearing how well oil company profit margins and someone's stock portfolio is doing may ring a little hollow.
Larry,<br />Corpus Christi, Tejas<br />2007 Lazy Daze Class C and a 2005 Jeep Wrangler toad<br />04 Dodge 3500, Cummins<br /><br /><strong class='bbc'>Only two defining forces have ever offered to die for you: 1. Jesus Christ. 2. The American G.I. One died for your soul, the other for your Freedom. </strong><br /><br /><br /><span style='font-family: Arial'><span style='color: #FF0000'>"We sleep safe in our beds because rough men stand ready in the night to visit</span></span><br /><span style='color: #FF0000'>violence on those who would do us harm." - </span><span style='color: #000000'>George Orwell</span>

#14 OFFLINE   Wellsdesigned

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Posted 21 February 2012 - 08:51 PM

After spending the past couple summer vacations going to a rented house on a beach I'm looking forward to a trip east in the camper this year. Unless gas prices in the States goes soaring over the $6/gallon mark, we'll be doing a long haul trip. There are things you only see on the iconic American road trip and at ages 9 & 12, our kids will hopefully have memories that would probably take the cost of fuel out of the equation. They were 6 & 9 on our last big trip and they still talk about it like we went yesterday.

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#15 OFFLINE   joerg68

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Posted 22 February 2012 - 07:16 AM

@PigPen: Fuel in Germany and France is currently around 8 USD / gal.
Where are you going? If you come by south-western Germany / northern France / Luxembourg, give us a call and we'll serve you coffee or beer ;-)

Our truck runs on LPG which is around half the price here in Germany due to much lower tax. The 4000 EUR conversion of the truck in 2008 has been paid by fuel savings by now.

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#16 OFFLINE   PigPen

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Posted 22 February 2012 - 08:19 AM

Hi joerg, just Spain, Enlgand & belgium/amsterdam this time. I checked out eurail, its much cheaper to fly.

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#17 OFFLINE   PigPen

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Posted 22 February 2012 - 08:22 AM

Back on oil, I predict Keystone will be approved with a modified route as soon as the US election is over no matter who wins. Obama is in a no win situation on it, but at the start of a new term the political fallout won't be as crucial to him. If the reps win, it will also get approved. Trans Canada says it will be only 6 months behind schedule at most.

Regardless oil is an international commodity subject to world price no matter what happens in individual countries. The price dif is dependent on taxes.

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#18 OFFLINE   ATPringles

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Posted 22 February 2012 - 06:57 PM

Unless prices stay under $4, I'm parking the camper and truck and taking the tent and Corolla and going on vacation. I hope to hit the Appalachians (Appalachian Trail), and the Outer Banks. I was going to drive to Alaska, then I got concerned about the cost, so I bought plane tickets about a month ago. I'll still be gone almost an entire month--if I'm going, I'm going to see things, but it's not the couple of months that I had hoped. I won't abandon the camper, though, I figure I'll take the truck camper to a nearby campground on an inland lake, or on Lake Superior, and watch the birds and the waves and drink coffee and not spend much.

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#19 OFFLINE   ziadude

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Posted 22 February 2012 - 08:30 PM

I will curtail the long trips, take the camper400 miles up to the lake (Heron) where I slip my boats and store it at $20/mo in a storage yd. Run up and back in the little 6 banger pick up, grab the tc, pull into the $4/night full hookup state park (5miles) and make do with short local poke arounds fly fishing the trout streams and fishing the home lake.. I will miss my annual treks to Yellowstone,Jackson and Flathead but ,as i"ve discovered, sometimes there are "Acres of Diamonds" in our own backyards that we often overlook in the hurry to cover miles. Gas goes down I will head out again but this year ,it's NM

#20 OFFLINE   mtnkwby

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Posted 22 February 2012 - 09:52 PM

We are at $4.15 for regular here on the mountain. Since we went from a motorhome back to a TC, we have picked up 4 mpg over the moho. We will be taking a north/west trip again this year. The last time we went up there we spent just over $1400.00 in fuel at an average price of $3.78/gal. The same trip in the TC, even at $5.00 a gallon, will cost less for fuel. It will effect our camping trips, but we just wont go as far.

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