Price of Gasoline Is Missing The Environmental Cost

GasBuddyFossil fuels in all its different forms are the sole contributor to a person’s carbon footprint. Without fossil fuels there would be no carbon footprint. Zippo. That’s really incredible when you consider it.

The 4 Cost Components For Gasline (Minus One)

To really appreciate and understand your personal environmental impact its important to really understand all the energy and infrastructure behind getting that container of energy (fossil fuel) ready for your use.

Take gasoline for instance. Your transportation needs contribute 35% to the average person’s carbon footprint. This, of course, varies widely by city state, province, and country. As well as your transportation lifestyle choices – how far you reside from your work, friends, family, shopping and what you drive (combustion or electric).

This chart shows the variation in gas prices across the United States and more interestingly the cost component of the raw material (crude oil); the refinery and distribution costs; and finally the taxes lumped on top. Each of the first three components has a varying profit margin already built in.

Handsome Profits For Some

ExxonMobile has been making handsome profits these last three years and an incredible per day profit.

2014 – $84 million/day
2015 – $44 million/day
2016 – $21 million/day
2017 (Q1) – $10 million/day

Currently, the tax component typically generates revenue for the local municipality – most for road infrastructure maintenance and repair – but has not been adjusted to keep up with the rising cost and demand.

Need For A New Tax Component – To fix the environmental damage that burning gasoline has caused. There needs to be a per gallon tax to begin addressing the greenhouse gasses being emitted with each gallon of burnt gasoline. The environmental cost from the released of CO2, an invisible, taste-free gas is being ignored and will have to be dealt with later with funds from some other source. As we continue to degrade the atmosphere and acidify the oceans the resolution is only going to get more expensive, not less. Plus, there is the mounting cost of breathing and related health issues that recently are on the rise because of the heat and related poor air quality.

We can pay a little now each time at the pump,… or much, much more later.

Infographic: Best & Worst U.S. States to Fill Up | Statista You will find more statistics at Statista


About the author

Keith Blizzard

A life-long environmentalist, Keith set out on the never ending journey of adjusting his lifestyle to a more sustainable one, with a goal of annually shrinking his carbon footprint. When he looked around for a dependable source of meaningful carbon footprint reduction ideas, it was pretty lame - so he launched Green Blizzard loaded with eco-friendly lifestyle tweaks. When he's not managing Green Blizzard, you'll find him on the trails around Mid Coast Maine with his trusty trail companion mutt, Moose.