Can anybody explain to me why petrol costs more than fuel oil?

Question

Can anybody explain to me why petrol costs more than fuel oil?

Answer 1

I think it's kept artificially high, they make billions from it, so does the government with extortionate taxes. We are being ripped off as usual.

Answer 2

Petrol is a product of a refinery process that extracts it from fuel oil. It is more expensive because the processing cost (among other things)will have to be recovered by the refineries and the subsequent marketers.

Answer 3

Because it has to be modified before you can run your car on it.

Answer 4

That's because petrol is a non renewable resource and it takes millions of years to form, whereas fuel oil is man made and it's easily available.

Answer 5

In the UK petrol costs a lot because it has an enormous amount of tax added.  Heating fuel has less tax and is less expensive in comparison.

Answer 6

Discounting the tax involved, Petrol takes quite a lot more refining than fuel oils. The heavier fuels are generally 'Straight Run' products as side-streams from the Fractional Distillation of Crude Oil.

Petrol is the product of a more Refined Naphtha, Catalytic Cracking, Reforming and other processes.

(Many years ago, Petrol was a by-product called 'Straight Run' gasoline but, with the advent of super efficient engines, refining processes had to be more efficient too).

Answer 7

Petrol is a processed product from oil.  Therefore there are lots of production costs incurred during the process which pushes up the price.

Answer 8

Petrol is used more by cars,bikes..so it's more expensive,also  something is called Cracking which deals with converting less used materials to more used ones .(i.e kerosense or engineoil to petrol.)

so to convert it makes it also expensive.

Also many countries use it so that makes it expensive.