MINNEAPOLIS (WCCO) – The cost to fill up at gas stations keeps going down.
In the Twin Cities on Tuesday night, a gallon of regular was just $2.14 on average.
But for drivers using diesel it’s considerably more: $3.30 a gallon.
“What we see happening with retail gasoline prices is not identical with what’s happening with diesel,” Gregg Laskoski, a senior petroleum analyst with GasBuddy.com, said.
Laskoski said diesel prices have actually gone down about $.15 cents a gallon in the last week.
But they still haven’t dropped as nearly as fast as regular gas.
“Unleaded regular gasoline is inexpensive and it keeps the cost down. When you go to the diesel vehicle, you are looking at it costing quite a bit more,” Laskoski said.
In Minnesota there may be a few reasons for that.
During our recent harvest, diesel was in high demand so prices have remained steady.
And during the rest of the year, consumers buy far more vehicles that run on gas because of a perception about diesel fuel.
“I think there is an overall perception among consumers that it isn’t a clean burning fuel,” Laskoski said.
However, he believes that perception may not be true.
But while our diesel isn’t a big seller here, it’s still in high demand in Europe.
Thirty percent of our diesel is exported overseas and that also has an impact on price.
“They’re just used to it [in Europe]. These are the engines they have used for centuries and they get a lot of their diesel from us,” Laskoski said.
Just last week U.S. refineries produced about 10 million gallons of regular gas compared to 5 ½ million gallons of distillate fuel, which includes diesel.
But even still, experts say diesel prices will drop another $.35 to $.75 cents a gallon.
Experts say the average is about $3.30 a gallon right now and diesel should eventually fall under $3.00.
Many experts also believe that the perception about diesel being a dirtier fuel is wrong and that it’s actually very energy efficient.