Fuel Prices

[Keith Walker <100662.3423@domain.elided>]

>>The fact that the European countries chose to =

finance their social programs by taxing their
citizens' fuel usage is not an automotive<<

UK governments, of both colours, have decided to
buy votes with income tax cuts. They still need to
raise the tax takings, so have paid for it with fuel
tax cuts.

A litre of normal unleaded fuel has a fuel duty
of around =A30.50 added to it (so roughly $2.90
for a US gallon). Then, to the cost of the oil,
the distribution costs, the profit margins and
all they add a sales tax of 17.5%.

For example, a litre of 95 ron unleaded fuel costs
around =A30.779 a litre, so about US$4.50 for a
US gallon. Of that price about US$3.58 is just
a direct tax on the fuel (not including the tax on
fuel used to distribute it, etc).

Be careful asking for higher fuel prices. You may
get them with a vengence. The only plus point being
that as most of the cost is a fixed duty, increases in
crude oil costs have very little effect on the final
fuel price. Our government is reputed to be sitting
on a =A3500m windfall in taxation from the sales tax
on the rises in crude oil prices.

Obligatory Alfa content. It costs me around US$56
to fill the tank on my Alfa 33, and that will take me about
300 miles.

All the best

Keith

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