World Map of Fuel Price – Europe Uncompetitive

Posted: September 4, 2013 by tallbloke in Analysis, Dataset, Energy, government, Robber Barons

I came across this on twitter yesterday and thought it was a bit of an eye opener. The legend doesn’t tell us at what date the map was constructed or what the unit is, but at current UK prices of around £1.47/litre for super-unleaded, if the unit is U.S. gallons and the exchange rate between the pound and dollar is $1.52, the price seems about right.

fuel-price

Click for full size image

Clearly, European citizens are paying too much for fuel in comparison with our neighbours and competitors. Why might this be?

Comments
  1. oldbrew says:

    Fuel duty. This table is from last year but probably not much has changed. UK easily comes top.

    https://www.fairfueluk.com/quentins_blog.php?entry_id=1330353823&title=the-highest-fuel-duty-in-the-eu-uk-top-of-the-league-table

    It’s not all about fuel duty though e.g. in Germany private owners pay double road tax on diesel cars compared to petrol – but German diesel is quite a bit cheaper than petrol.

  2. philjourdan says:

    Clearly, European citizens are paying too much for fuel in comparison with our neighbours and competitors. Why might this be?

    Because they can. It is also a leading factor in why their economies are mired in minimal or no growth.

    Cheap energy got them there. Expensive energy will ensure they do not get any better.

  3. Tenuk says:

    philjourdan says:
    September 4, 2013 at 12:21 pm
    “…also a leading factor in why their economies are mired in minimal or no growth…”

    Correct. The West won’t get out of the economic mire while labour and energy costs are high, relative to our competitors. However, history shows that a good war can get the wheels of industry started. I wonder where would be the best place to start one?

  4. Kon Dealer says:

    They say a picture is worth a 1000 words.

    This one shows with elegant simplicity why manufacturers are voting with their feet and why Europe will soon be a basket case, filled with the starving.

  5. philjourdan says:

    @Tenuk – I think they are trying to start one in Syria, but as Russia and China are not buckling, it will not remain there.

  6. tallbloke says:

    Phil J: Infowars is reporting that B1 and B2 bombers have flown the nest last week, and today the US military is moving nuclear warheads around.

  7. philjourdan says:

    @Tallbloke – I am saddened to say, none of what you tell me surprises me.

  8. J Martin says:

    Venezuela, less than a penny per litre. It’s almost free. Charter a small tanker vessel, stop by a few shore side petrol stations in Venezuela and return home with enough fuel for several years and run your car and central heating and generate your own electricity.

  9. philjourdan says:

    Only Problem J Martin – there is none for sale. it is rationed.

  10. tallbloke says:

    “As part of our commitment to accelerating the transition to low-carbon energy systems worldwide, the leaders of Denmark, Finland, Iceland, Norway, and Sweden will join the United States in ending public financing for new coal-fired power plants overseas, except in rare circumstances…”

    http://www.officialwire.com/pr/joint-statement-by-kingdom-of-denmark-republic-of-finland-republic-of-iceland-kingdom-of-norway-kingdom-of-sweden-and-the-united-states-of-america/

  11. Brian H says:

    oldbrew;
    Except for Norway.

    Tallbloke;
    Economic suicidal tendencies?

  12. tallbloke says:

    Brian: Unrealistic objectives, coupled with unrealistic ideas about how to realise them. Ideologists with no idea how to run economies.

  13. Brian H says:

    Complete instructions to ideologues about how to run economies: “Don’t.”

  14. Mike Mellor says:

    Europe has good transport infrastructure, presumably paid for out of the fuel tax. My country has mediocre transport infrastructure, paid for out of a much lower fuel tax. You get what you paid for.

  15. BenE says:

    Three things: 1) Europe produces little to no oil compared to the middle east, russia, and the Americas. Countries and regions that produce signifcant amounts of the global oil supply will always have lower oil prices. Countries that don’t will always have higher ones. 2) Countries with higher gas taxes tend to have better roads and improved transportation infrastructure all around which benefits the economy. Many countries with low or nonexistent gas taxes have horrible roads (which inhibits the transport of goods, reduces lifespan of vehicles, etc.) and even places like the US where there is an obsession with low taxes for low taxes’ sake, some states are now resorting to replacing some paved roads with gravel or letting others “degrade naturally” and 3) the understanding that a fossil fuel based economy is not sustainable forever. in Europe high gas prices limit the number of cars, car trips, and time spent in cars, and gently encourage consumers to upgrade to more fuel efficient cars/manufacturers to offer more fuel efficient cars as a competitive advantage. This happens far more in Europe which keeps the slow but steady momentum apace to move Europe away from dependency and forced deference on OPEC nations and middle eastern concerns. In Europe, people take trains, buses, subways, and actually walk far more than Americans do because the higher gas prices encourage a more balanced transportation culture. Would social engineering be a good enough reason to keep gas prices high? No, of course not. But when seen as a third factor after the first two, it is at least both justifiable and understandable–if not enjoyable to pay that much at the pump–that Europe has the highest gas prices in the world.

  16. tallbloke says:

    Tony Abbott has won the Australian Election and will be scrapping the carbon tax in Aus.

    http://uk.reuters.com/article/2013/09/07/uk-australia-election-idUKBRE98603320130907

  17. J Martin says:

    BenE. Some interesting comments. I would argue that “gently encourage”, is a little too generous and comes at the cost of a reduction in safety and choice.