I am constantly looking at the price of a barrel of oil these days as I am always wondering how in this country (United Kingdom – England) we are constantly being ripped off when it comes to fuel. know, it is not just fuel that is the issue in the UK but this is the one that makes most, if not all of us really really angry.
As I understand it Oil is sold by the barrel, so my first question is what is this barrel of oil in quantity?
An oil barrel is a unit of volume whose definition has not been universally standardised. In the United States and Canada, an oil barrel is defined as 42 US gallons, which is about 159 litres, or 35 imperial gallons, and it can also be defined in those units, depending on the context. Outside the United States and Canada it is different but we are going to use the US barrel.
On the market oil fluctuates in price so those multi billion pound companies that produce it never really know what price they are going to get for their product until it is sold. On the left is an image I took from the stock market of todays price, I do not really understand why there are two but it is an average of about $50 a barrel!
On the right I believe is the forecast price of the same oil set at $52 a barrel.
Now as this Oil is sold it is converted into the fuels we use on a day to day basis, Car fuel, Gas, Electricity etc etc.
We all understand that doing this incurs a cost to all the companies, so they sell it on again at a higher price and it goes on until it ends up at the pump in your local petrol station or through the door as your gas or electricity and for that we as consumers have to pay an inflated rate to cover their costs, we all understand that, makes a lot of people happy and some people exceptionally wealthy.
So, you would expect the price we pay as consumers to fluctuate the same as it does on the market barrel goes up in price we pay more, barrel goes down in price we pay less and we can have an extra pint in the bar at the weekend right? Of course not!!
Why? When oil goes up the very next day the prices rise, can not be done quick enough! When the price of a barrel drops it takes weeks, months even years to be reflected in the prices consumers pay. It is just wrong and in my opinion criminal, it is theft made legal by a weak pathetic government.
These companies know that we need it, yes we can shop around and save some money but thats pennies. And then we we do shop around we get robbed again. How many times have you filled up at the pump and you leave the pump and it is say £20- but by the time you come to pay it is £20-01 it really winds me up, yes it is only 1p but that happens to everyone every single day it much be worth millions!
In europe you tell the attendant how much you want €20 he enters that in the pump and the pump stops €20 its simple. Why can we not have that here?
We had a monitor installed the other day by S&E so we can see when we are using a lot of fuel (below) so we can then try and reduce the usage and then save some money, have you ever seen how much electricity a kettle uses?
So with lowering Oil prices and rising fuel prices I find myself looking for ECO labeled items such as kettles to save money so these bastards in their high towers and ever thickening wallets don’t get more from me than what they have to. Makes you want to scream!!