DOE Boosts Diesel Price Forecast 2¢ to $3.85
The Department of Energy boosted its 2011 diesel price forecast by 2 cents, to $3.85 a gallon, and raised its gasoline price projection 3 cents, to $3.56, but lowered its projections for 2012.
Trucking’s main fuel will average $3.87 at the pump next year, a drop of 9 cents from last month’s forecast, DOE said in its monthly short-term energy outlook.
Gasoline will average $3.54 in 2012, down a dime from last month’s outlook, DOE said. Diesel averaged $2.99 a gallon and gasoline averaged $2.78 last year.
This year’s higher fuel prices reflect not only the higher cost of crude oil but also higher U.S. refinery margins, or the difference between refinery wholesale prices and the average cost of crude oil.
Projected diesel refinery fuel margins rose from an average 38 cents per gallon last year to 65 cents this year, but are projected to fall to 58 cents next year.
Gasoline refinery margins were 34 cents per gallon in 2010, will be about 50 cents this year and will fall to 43 cents in 2012, DOE projected.
DOE’s monthly outlook often lags its weekly price survey. Diesel and gasoline both rose close to a nickel in this week’s pump-price survey, to $3.868 and $3.674 per gallon, respectively.
