Originally Posted by 2Macs
With the economy improving, there are more and more semi trucks on the road creating a greater demand for diesel.
During the GREAT Recession, as demand for goods slowed down, the price of diesel fell below gasoline because many trucks were being parked because no demand to haul freight. As demand for goods has improved, this begats more trucks.
If we could get the railroads to be more responsive with delivery of goods, we could reduce the number of trucks on the highways causing a reduction in the price of diesel.
And, o yes, railroad engines run on heavier bunker fuel.
Trains run through MN suburbs were I am at with a HUGE increase in frequency vs. just a couple of years ago. Many and more intermodel trucks parked nose to nose on flat bed train cars. I also see train companies advertising on TV all the time. Long distance OTR trucking is inefficient as rail services can do it less expensivly.
The train thing is just starting to boom. Magically, light rail in Minnesota is taking off at the same time. A few miles from my work is a company called LORAM Maintenance of Way - Home
These guys are growing and hiring over the last couple of years too.
Winter diesel blend hit MN about a month ago. 15 cent jump in price when that hit the pumps. I use GasBuddy.com - Find Low Gas Prices in the USA and Canada
on my phone to find cheapest gas and diesel when it's time to fill up.