FUELING THE FUTURE
The Arizona Department of Weights and Measures receives hundreds of fuel related inquires a month. Some deal with gasoline prices, which are outside the regulatory scope of this agency. Others relate to refinery and pipeline disruptions, petroleum dependence, international tension, seasonal fuel formulations, hurricanes in the Gulf Coast, ethanol vs. MTBE, and now E85.
This Department has a narrowly defined role when it comes to gasoline prices. The free market determines the cost of fuel. We conduct inspections of retail gasoline pumps statewide to determine if they are properly calibrated to deliver every drop you pay for, and we inspect equipment to make sure it is functioning properly. We conduct other fuel-related inspections as well. In the Phoenix area, for example, we conduct annual vapor-recovery testing required by clean air regulations that involves extensive testing of fueling equipment.
While we conduct random inspections of fueling stations, we rely on consumers to serve as our eyes and ears. Anyone who thinks a pump served them less gasoline than they purchased can file a complaint with Weights and Measures in English or Spanish. Every complaint is investigated.
There is no simple explanation for the prices you pay. When it comes to oil and gasoline in the United States, we must push past conventional thinking.
We live in a world where many things are going on simultaneously. Skyrocketing prices and tighter supplies are right at the top of the list. The harder oil is to find, the more valuable it becomes. Statistics show that in 1988 there were 15 million barrels a day of “shut-in” oil production, i.e., surplus oil that could be tapped, and the world was using about 55 million barrels a day. Today, the world consumes 86 million barrels a day; and there are people who will argue there is no “shut-in” production left. On the other side you have geologists and economists who say higher prices will generate more supply from new and existing oil fields using the latest technology.
One thing is clear: Oil supply is a growing global problem. What we see is reduced availability of crude oil on the world market and the oil industry has limited refining capacity. Spare production is limited. The unexpected increase in global consumption, beginning in 2003, has only made the situation more challenging.
The Department’s role is to serve as an information resource. For that reason we have developed this page with tips on ways to hold down your fuel consumption, answers to some of the questions we have heard about fuel prices, and internet links to other resources, including nationally respected interests that track gasoline prices.
Here’s 10 ways to Fight High Gas Prices
1) Keep your car properly maintained. Following manufacturer recommendations for engine, cooling, ignition system, brakes, drive train and emission control systems will reduce fuel consumption.
2) Check and replace air filters regularly. This can improve mileage by as much as 10 percent.
3) Keep tires properly inflated. This will improve mileage by about 3.3 percent. Properly inflated tires are less likely to overheat and cause blowouts or tread separation.
4) Use the recommended grade of motor oil to maximize fuel economy. Look for the “Energy Conserving” label that indicates that the motor oil contains “friction reducing” additives.
5) Observe the Speed Limit. Higher speeds consume more fuel. At $3 a gallon, each 5 mph you drive over 60 mph is like paying an extra 20 cents a gallon for gasoline.
6) Avoid Excessive Acceleration. Speeding, rapid acceleration and rapid braking can reduce gasoline mileage by as much as 33 percent at highway speeds.
7) Use cruise control. Maintaining a constant speed in most cases will save gasoline in conventional vehicles.
8) Don’t “top off” your gasoline tank. This releases gasoline fumes, which contributes to air pollution. At service stations equipped with Vapor Recovery systems, the excess fuel can actually be sucked back into the underground storage tank.
9) Don’t use High Octane Premium gasoline unless your car’s manufacturer specifically recommends it. In most cases, a higher octane will not improve performance or reduce fuel consumption. It will just cost more at the pump.
10) Reduce your driving by planning trips. Use mass transit, carpools or bicycles if possible. Walking is good for your health, and it’s good for your fuel budget.
FUEL PRICING FACTORS
Why Do Some Gas Stations Charge Less Per Gallon Than Others?
Arizona’s retail gasoline market is affected by a number of factors. Stations in desirable locations pay higher rent. This includes upscale neighborhoods and areas of high commercial traffic, such as freeway intersections. Additionally, wholesalers vary their prices to retailers by zones. Finally, market conditions affect fuel prices, sometimes on a day-to-day basis.
Do Gasoline Additives Affect Gasoline Prices?
The U.S. Environmental Protection Agency (EPA) mandates that every gasoline retailer include an additive package containing detergents and deposit control mixtures. Some companies add additional ingredients that may help engines run better and stay cleaner. These differences in additives can affect the price at the pump, as well as your gasoline mileage.
How Much Do Taxes Add to Gasoline Prices?
Arizona has one of the lowest fuel-tax levels in the nation. The federal tax adds 18.4 cents. There is an Arizona fuel tax of 18 cents, and there is a one-cent tax to cover the cost of cleaning up underground storage tanks. That comes to 37.4 cents a gallon, well below the national average of 42 cents per gallon.
What Can the Public Do To Bring Down Gasoline Prices?
As with all consumer products, prices are sensitive to demand. If Arizona drivers do everything they can to improve vehicle fuel efficiency, plan their trips to reduce their driving, use mass transit or carpooling whenever possible and take other steps to reduce fuel consumption, their actions can help to hold down prices.
Do Other Government Mandates Add To Fuel Costs?
The Vapor Recovery Program, administered by Weights and Measures, helps to reduce ozone levels by capturing fuel vapors that are released when you fill your gas tank. Most of these vapors are re-circulated back into the service station’s underground storage tank. The vapor recovery systems add to the cost of operating service stations in Area A (the Phoenix Metropolitan and surrounding areas). As with all overhead, this cost is passed on to consumers.
Where does Arizona get its gasoline?
The state gets its fuel from two pipelines, one originating in Southern California, which moves through Yuma and terminates in Phoenix. A second pipeline begins in El Paso, moves through Tucson and also ends in Phoenix. Some additional fuel is trucked into the state from New Mexico, Nevada and California. It takes a gallon of gasoline seven days to reach the state through the Southern California pipeline, and six days to get here through the pipeline from Texas. While there is talk of building a refinery in southwestern Arizona, the status of the facility remains unclear at this time.
How much gasoline do we use in Arizona?
In July, 2005, about 145 million gallons of gasoline were consumed in Phoenix and the area surrounding Phoenix, known as Area A. This represents about 63 percent of the state’s total fuel consumption. Area B, which is Tucson and the surrounding area, consumed about 33 million gallons, about 14 percent of the statewide total. The rest of the state used 86 million gallons, or about 23 percent.
What Is E85?
E85 employs ethanol, a "renewable" fuel that is produced by fermenting and distilling starch crops that have been converted into simple sugars. A wide array of plant material can be used, including corn, barley, and wheat. Ethanol can also be produced from cellulose material, such as wild grasses or plant waste. When a blend of 15 percent conventional gasoline by volume is added to a mixture of 85 percent ethanol, the resulting blend is known as E85. For more information on E85, visit the Weights and Measures webpage on E85.
What kind of gasoline do we use in Arizona?
Residents of Area A use Clean Burning Fuel (CBG) year-round. CBG is one of the most environmentally sound gasoline blends consumed anywhere in the world. It has been reformulated to reduce the amount of certain pollutants, and has been modified to enhance certain performance characteristics.
Residents of Area B use a blend of conventional gasoline and ethanol from October through March. This blended fuel promotes more complete combustion of gasoline, which reduces carbon monoxide and volatile organic chemicals. In addition, ethanol is derived from corn, a renewable resource, and it reduces our reliance on fossil fuels.
Residents in the rest of Arizona use conventional gasoline.
Why Does The Phoenix Area Need CBG?
The Arizona CBG program was adopted by the Legislature when the U.S. Environmental Protection Agency (EPA) found that air quality in the Phoenix Metropolitan Area failed to meet National Ambient Air Quality Standards for both Carbon Monoxide (CO) and Ozone (O3) during winter and summer months. As a result of this finding, the EPA determined that Phoenix was in "serious non-attainment."
Because of that finding, Arizona is required to provide a State Implementation Plan (SIP) to the EPA. This SIP outlines the exact steps that will bring the Phoenix Metropolitan area into compliance with federal ambient air quality standards. Arizona's CBG program is an important part of the plan to reduce levels of the following:
Ozone, formed when sunlight and heat act on volatile organic compounds, has been found to be harmful to human health and the environment.
Carbon Monoxide impairs the ability of the blood to carry oxygen to the human body. The cardiovascular system is primarily affected, causing angina pain in persons suffering from cardiac disease, and leg pain in persons suffering from cardiac arterial disease.
Has CBG improved air quality in Phoenix?
The state’s air quality has improved significantly since 1997, when CBG was first introduced. The improvement is especially significant since May 1999, when CBG standards became more stringent. While other factors play a role, all available scientific evidence seems to show that CBG is the third most effective pollution control program, after federal tailpipe standards for vehicles and off-road engines, and the vehicle inspection program.
Facts To Consider About Octane
What is an Octane Rating?
Your engine burns a mixture of air and fuel that is injected into each engine cylinder. Octane ratings measure the ability of an automobile engine to prevent engine knock, which occurs when some of the air-fuel mixture spontaneously ignites too early, causing a sudden jump in cylinder pressure. High Octane gasoline burns slower. This reduces engine knock.
What is Engine Knock?
It is not unusual for an engine to make a “pinging” noise at full throttle, due to high cylinder pressures. Engine knock, however, should not be ignored because it could result in serious engine damage. NOTE: If your engine knocks or pings, it does not necessarily mean something is wrong with the fuel. It could be signs of problems with the engine’s electronic control systems, ignition timing or exhaust gas recirculation.
How is Octane Rating Determined?
Two different testing ratings are used to establish Octane Ratings
MOTOR METHOD: Gasoline is run through an engine under load.
RESEARCH METHOD: Gasoline is run through a free-running engine. This method typically gives higher octane ratings than the motor method.
NOTE: State and federal law require service stations to display the Octane Rating on their pumps, on a yellow label with black lettering. The rating displayed on those labels is an average of results from the Motor and Research methods.
Does High Octane increase engine power?
Not if your car is designed to run on regular.
Does High Octane gasoline improve gas mileage?
No. If your car is designed to run on 87-Octane gasoline, which is the minimum rating in Arizona for regular, switching to high octane will not improve mileage.
NOTE: If switching to High Octane does improve mileage, it may mean that your engine, or its control system, need repair. Consult your mechanic.
How is High Octane Different From Low Octane?
High Octane gasoline burns slower. This reduces engine knock when cylinder pressure is high.
Can I switch from Premium to Regular?
Check your vehicle owner’s manual. If your manual does not specifically recommend High Octane you probably can switch. If the vehicle knocks, pings or runs poorly try the Mid-Grade before returning to High Octane fuel.
OTHER RESOURCES ON FUEL
These websites have information about petroleum and fuel prices from a wide variety of perspectives: