Michigan Gas Prices now range between $2.89 to $3.59/gallon.
These high prices could hurt northern Michigan tourism this Labor Day weekend. Although the Soo Evening News (SEV) begins the above article with the hyperbole “With the gas and oil industry gouging motorists for an additional 71 cents per gallon in the last three days…” What the SEV misses is that this really isn’t “price gouging” but what happens now that the world is in the era of Peak Oil.
For example, there were 15 million barrels more of gasoline around last year at this time. That is 630,000,000 gallons. This was a pre-existing supply shortage.
The Gulf of Mexico produces 1.4 million barrels of oil a day and that has been lost for the time being. After refining that is 73,684 gallons of gasoline per day.
Not to mention the refineries that are currently shut down.
The current gasoline prices are NOT the result of price gouging but the simple result of what happens when demand stays constant and supply goes down. It is very basic economics.
But there are things that people can do in order to bring demand more inline with the current supply.
This coming Labor Day weekend the AAA estimates 1.4 million travelers in Michigan; 82% are driving and 89% will drive over 100 miles.
If we assume an average distance of 150 miles that means a total of 172,200,000 miles will be driven.
Further, if the assumption is made that each vehicle averages 25 mpg then this means 6,888,000 gallons of gasoline will be consumed in Michigan and if the price is $3.50/gallon all of that gasoline will cost $24,108,000.
For each MPH above 55 fuel economy is decreased by 1%. To be conservative and to account for driving habits assume lowering the speed from 70 to 55 mph gives a 10% increase in fuel economy.
Therefore, 688,800 gallons of gasoline could be conserved across the state on just one day of travel. If gas is $3.50/gallon this saves $2,410,800.
So if travelers just in the state of Michigan drove 55mph instead of 70 on the highway then the loss of the Gulf of Mexico’s 73,684 gallons of gasoline per day could be made up.
Even better, if this 70 to 55mph change is extrapolated to all of the lower 48 states, but ratchet down the gallons of gasoline saved per day to 500,000 gallons, then a total of 24,000,000 gallons of gasoline could be conserved per day.
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If you choose to not slow down on the highway or do most of your driving in town there are many things you can do – with the following changes I’ve been able to get 50 – 60 miles more per tank. Here are my tips for increasing miles to the tank.
1. remove roof racks/crossbars and take out unneeded weight (I’ve heard of Subaru drivers getting 2-3 mpg increase after removing the roof rack’s crossbars)
2. coast when going downhill
3. when going uphill avoid accelerating - maintain speed or slightly decrease speed – get up to speed before reaching the hill
4. accelerate very, very slowly – just to the point where people following do not get too pissed off
5. anticipate stops and coast into them – avoid coming to a complete stop whenever possible (it is more efficient to speed up a body in motion than to overcome the moment of inertia)
6. drive below the speed limit whenever practical
There are more efficient driving tips at fueleconomy.gov.
And the Michigan Public Service Commission has 20 Gas Saving Tips.
The State of Nebraska reprints some tips.
Finally, here’s someone (an engineer, no less) who has some thoughts and ideas.
