Fuel Market Report: June 23rd – June 29th, 2024
Oregon Fuel Price Variance
Fuel Market News
Fuel prices fell this week, as gas and diesel dropped in price on both the wholesale and retail markets. Rack averages for diesel dropped $0.03 for B5 and $0.05 for B20, while E10 gas fell $0.07. With crude oil still above $80/barrel, it is surprising to see fuel prices hovering downward. We can expect prices to begin to climb after the 4th of July weekend with increasing travel trends and demand for fuel. It would be wise to fill up your tanks, cars, boats, or equipment before the holiday weekend pricing spike.
Curious to learn more about R80/B20 blends?
Book an appointment with one of our low-carbon fuel analysts.
City of Portland began their fuel blending requirements for all diesel blends to increase to the minimum of a B15 blend. This will lead to most stations using B20 biodiesel or R99 Renewable diesel if allocations allow for it.
To learn more about these changes that will affect your company’s vehicles, equipment, and annual fuel purchasing schedule an appointment with one of our fuel market analysts.
Important Note: Per the City Of Portland, “Distributors in the City of Portland are required to meet the minimum biofuel content requirements for all fuel they distribute beginning on May 15, 2024. All diesel fuel distributed to retail stations, non-retail dealers, or wholesale purchaser-consumers must include a minimum of 15% biofuel content, from either renewable diesel or biodiesel. This requirement increases to 50% on May 15, 2026, and 99% on May 15, 2030”.
Reasons For Price Variance:
Crude oil is trading above $80 for the third time in eight weeks, at a current price of $83.55/barrel, $2.24 higher than last week, as oil prices trended upward, for the fourth week in a row.
Crude oil is the main ingredient for gasoline and diesel. Per AAA, on average about 50% of what you pay at the pump is the price of crude oil, breaking down as 25% refining, 11% distribution & marketing, and 14% taxes—a helpful breakdown for consumers wondering why they are paying the prices that they pay. Crude Oil is trading at $83.55 per barrel compared to $81.31/barrel, last week and $86 a year ago.
It’s essential to recognize that fuel prices result from a complex interplay of the factors mentioned above and other factors regionally. Additionally, prices may vary by specific regions within Oregon and Washington. For the most precise and up-to-date information on fuel prices and the causes for these price changes within your area, use the links below for AAA & GasBuddy.
If you have any questions, feel free to contact Star Oilco and speak to one of our fuel market advisors to discuss how the market can impact your business.
