US Has Just 25 Days Of Diesel Supply As Demand Surges: Report

(CTN News) – Bloomberg reports that U.S. diesel stockpiles are at their lowest since 2008, with only enough fuel for a 25-day supply.

Additionally, demand is at its highest point since 2007, creating a dangerous supply/demand combination that’s causing spikes in prices.

To reduce prices, the Biden administration is looking at all options to increase the national supply of diesel.

According to the Energy Information Administration (EIA), costs $5.34 per gallon on average. The price has increased by $1.67 per gallon since last year.

New England is hardest hit, where people burn  fuel for heat at a higher rate than anywhere else. There are a third fewer  fuel stockpiles at this time of year than they normally are.

Despite this, diesel fuel is most expensive in California, where the average cost is almost $6.50 per gallon, an increase of almost $2.00 per gallon since last year.

Additionally, it is a massive price increase over the average price of gasoline in the U.S. The average price of gasoline in the U.S. is $3.87 per gallon, with California having the highest price at $5.84.

Besides maintenance season, Russia’s war in Ukraine has hurt global fuel supplies, contributing to the supply shortage. Bloomberg reports that some good news may be on the way.

Two shipping vessels diverted from their original European destinations are said to be carrying one million barrels of diesel fuel to New York.

Furthermore, a Trainer, Pennsylvania-based diesel refinery is reopening after its seasonal maintenance, which will help increase production in the United States. I hope those two things can bring diesel stockpiles back to normal-ish levels, at least temporarily.

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