Why is alternative fuel cheaper than oil?

Question

Why is alternative fuel cheaper than oil?

Answer 1

because OPEC has a monopoly of oil,  they can charge us outrageous prices on it and we still have to buy it.

Answer 2

More oil request, in addition there is less oil...

Answer 3

It's not and it won't be.  Supply and demand dictates that if all things are equal (cost of producing/distributing) competing fuels, the costs for each will balance out.

Answer 4

it all to so with the Government paying a buck a gallon the type of feedstock use demand for it and a yea  a war we are paying double to fight (theirs and our cost aka OPEC demand)

Answer 5

It isn't what makes you say that.

Answer 6

It's cheaper to obtain and produce...and there is no real futures market or electricity or corn (ethanol) or H2O driving prices up based on fear.  oh and no/less taxes at the federal and local levels.

Answer 7

It really has to do with the high price of Oil. The international price of Oil is largely driven by the weak dollar as well as competition from developing countries.

Alternative fuel demands keep the price of these fuels competitive with oil fuels.

We simply don't have enough capacity at present to satisfy our energy needs with alternative fuels. Ethanol production has already driven up the price of essential food basics because farmers are not planting food crops. they can make more money on fuel crops because of government supplements and mandates.

This is the greatest fallacy of Obama's energy plan.

Celuosic ethanol will help as it comes into greater production.

Tariff's on Brazilian ethanol are also not helping us at all. We need to get rid of them.

Remember only a year ago the hottest automobiles on the market were gas guzzling SUV's

Answer 8

we're currently looking for it, i mean the whole world. with the exception of the ones making a s$%t load of money on oil

Answer 9

can be produced here in abundance might be one reaseon

Answer 10

They are renewable so we are less likely to run out. Also, they are not controlled by OPEC and oil companies who are currently ripping us off.

Answer 11

Alternative energy cost around $45 a barrel while oil cost $130 a barrel thus it cost less.  Ask a stupid question and your going to get stupid answers.  You need to be more specific about what you mean when you say alternative energy, there are many forms and they all have various costs associated with them.

Answer 12

I don't know but, why don't you look it up on google?

Answer 13

Democratic Comprehensive Energy Plan To Lower Gasoline Prices

This is how we will do it. And this why we will do it. This country has so much under used industrial capacity in our Auto Plants, Airplane Plants, Steel Plants and Electronics Plants to make America Energy Independent in 2 to 5 years. We can build enough windmills and solar power and wave generation energy plants to replace 90% of all of the electricity generated by COAL and NATURAL GAS and reduce US CO2 emmissions by at least 25%. For $400 Billion we could build 400,000 windmills and provide electricity for every home in America . The Coal and Natural Gas saved by Green Replaceable Elecrrical Generation can now be used to make fuel for cars, trucks, busses, boats and airplanes, and or plastics, chemicals, fertilizers and pharmacuticals. We need a comprehensive plan that puts America back to work in endeavors that benefit 99% of America.

Howard Scott Pearlman and Tony Mullen 5-25-2008

Answer 14

Right now what looks like the best idea is biodesal from algae.  All we need for it is miles of flat dry land like in Arizona and that area.  With it ou can get about 100,000 gallons of oil per acre per year compared to the 30 gallons from corn per acre per year.  It's clean and it's cheap.

Answer 15

there is more demand for the oil

there is very little demand for alternative fuels in comparison