East Coast Gas Shortage

[elcheapo]

Anyone been having trouble getting gas in GA, SC or NC due to Pipeline break in AL ?

[atwowheelguy]

WTP-GC wrote:

GoPackGo wrote:
I think that one of the things to notice is that there is no 'extra' capacity in the system. Any little hiccup translates into a shortage at the pump. Normal demand pretty much uses up all the fuel that is available. Not good.

IMO, I don't think that's entirely accurate. Rather, I would suggest that the industry doesn't have a good contingency plan in place in the event that their distribution channel was disrupted, which is what actually happened in this case. Either that, or their projected timeline of repair didn't justify activating other options.

Regardless, its still not good that even such a minor problem has created a major regional issue.

Colonial's gasoline line carries about 1.2 million barrels of product every day from Texas and Louisiana refineries to truck loading terminals throughout the southeastern U.S. and all the way to Linden, N.J (1,600 miles). That's over 50 million gallons every day. The distillate line (diesel, kerosene, jet fuel) carries another 50 million gallons every day. The gasoline line capacity is fully utilized every day, so much so that there is a secondary market among shippers where they resell their allotted capacity on the line for a premium price. That 1.2 million barrels of gasoline fills 6,500 tanker trucks every day for the final few miles of its journey. What contingency plan would provide for alternate transportation of those 6,500 truckloads every day for the first 1,000 miles of its journey?

[WTP-GC]

Dutch_12078 wrote:

WTP-GC wrote:

Dutch_12078 wrote:
According to the Tennessee Emergency Management director, the only reason there are shortages is because people are hoarding gas by filling their tanks before they need to and filling every possible container as a hedge against price increases...

So in other words, he's saying that people should not make reasonable efforts to be prepared in the event of an emergency. Idiotic government hack...

Except in this case there never was an "emergency"...

Well, if there was no emergency, then what's the problem?
This situation isn't any different than me buying the last 2 generators ahead of a storm because I have both a house and a barn that needs power, and then some bureaucrat telling me that I've done something bad because I didn't leave a generator for the next guy.

[Dutch_12078]

WTP-GC wrote:

Dutch_12078 wrote:
According to the Tennessee Emergency Management director, the only reason there are shortages is because people are hoarding gas by filling their tanks before they need to and filling every possible container as a hedge against price increases...

So in other words, he's saying that people should not make reasonable efforts to be prepared in the event of an emergency. Idiotic government hack...

Except in this case there never was an "emergency"...

[WTP-GC]

Dutch_12078 wrote:
According to the Tennessee Emergency Management director, the only reason there are shortages is because people are hoarding gas by filling their tanks before they need to and filling every possible container as a hedge against price increases...

So in other words, he's saying that people should not make reasonable efforts to be prepared in the event of an emergency. Idiotic government hack...

[WTP-GC]

GoPackGo wrote:
I think that one of the things to notice is that there is no 'extra' capacity in the system. Any little hiccup translates into a shortage at the pump. Normal demand pretty much uses up all the fuel that is available. Not good.

IMO, I don't think that's entirely accurate. Rather, I would suggest that the industry doesn't have a good contingency plan in place in the event that their distribution channel was disrupted, which is what actually happened in this case. Either that, or their projected timeline of repair didn't justify activating other options.

Regardless, its still not good that even such a minor problem has created a major regional issue.

[Grit_dog]

nineoaks2004 wrote:
Gas went up at Flying J / Pilot in Dothan by 10 Cents a gallon to 1.89.9. I got gas this am. Thank goodness for the Elite discount of 7 cents a gallon I paid 1.72.9 a gallon

Well that's still 60-70cents cheaper than here and we don't have a "shortage."

[tatest]

Dutch_12078 wrote:
According to the Tennessee Emergency Management director, the only reason there are shortages is because people are hoarding gas by filling their tanks before they need to and filling every possible container as a hedge against price increases. He said the excessive demand would have caused spot shortages even without the pipeline break. Colonial is currently using their second pipe line to ship gas, along with its usual diesel and jet fuel payloads. I noticed that the Pilot station near Heiskell, TN on I-75 was at $1.99 last week, and is still at $1.99 today with plenty of pump traffic, so apparently the break hasn't had any effect there.

Does anyone else remember how Johnny Carson created a national toilet paper "shortage" by making a joke about a shortage so that people started hoarding the stuff?

[Dutch_12078]

Colonial is reopening the pipeline today, but it will take a day or two for the supply to stabilize. Some stations are still reporting up to a 50% higher than normal demand causing spot shortages.

[dodge_guy]

Gas went up .20 a gallon here in the Chicago suburbs! don't know why though?

[nineoaks2004]

Gas went up at Flying J / Pilot in Dothan by 10 Cents a gallon to 1.89.9. I got gas this am. Thank goodness for the Elite discount of 7 cents a gallon I paid 1.72.9 a gallon

[camperforlife]

Johno02 wrote:
This is just another media scam for price gouging and hype. Prices in Nashville jumped from 1.89 up to 3.49 at one shell station, and all the Television heads are screaming about the end of the world. Gas station linez a block long. 10 miles out the road prices are 1.89. We are in a cg in Nashville with half a tank, almost enough to get home. Reservations paid up till next week. BTW, after the panic, the media is now saying that the crisis will be over next week and there will be plenty.

Local issue, local media coverage. Nationally there is mention but certainly not hype. If one station doubles their price it is because they are greedy not because there was news coverage.

[mgirardo]

We just returned from NJ yesterday. The only state we had an issue with was in South Carolina. We don't generally stop in North Carolina for gas because it is a lot more expensive than VA or SC. We stopped for the night in Florence, SC at a Walmart. The Murphy's gas station there was out of unleaded gas, only the diesel pumps worked. We proceeded to another gas station and they only had Regular. We paid $1.85/gallon at that station.

There doesn't seem to be an issue in our part of GA. I've passed many gas stations since we got back home and they all were open. Gas here is $2.09/gallon for regular. It was $1.99/gallon for regular yesterday.

-Michael

[Johno02]

We have been in Nashville all week, wasn't worried about gas as we were at a RV park, with no need to go anywhere. Driving around, we saw stations that had raised prices by .50 up to over $1.00 at some. Then lot of stations were out and had bags over their pumps. Went to Walmart, and filled up about 12 gallons at about .10 higher than before.(2.10). Was planning on filling the MH before heading home, but just waited till about 40 miles out, filled up at last weeks prices. Just got out of Nashville television range, and nobody knew anything about any shortage. Were glad to sell me 70 gallons or so.

[Johno02]

Most of the outages are not caused by lack of fuel, but too much greed and stupidity. And the Media is trying to do anything to generate spectacular news, it doesn't need to be true. Just like the internet, if you saw it on the news, it must be true!