Why Is gas Getting So Expensive?

Exxon, Shell, Chevron and other companies in the same field have posted huge profits for the last couple years. These volume of profits is the most for any company's over the years. Still don't get it? In the history of the world, these companies are setting records for ANY company EVER, they post more and more profits as compared to previous years.

About 50 or 60 years ago there were only about 1 or 2 companies that had a monopoly on oil and therefore oil prices. Our government stepped in and broke them up into many smaller companies you now know of to day, BUT, there were MORE.

People have forgot about that and Conoco is now Conoco-Phillips, Exxon is now Exxon-Mobile, Chevron is now Chevron-Texaco, Shell is still Shell but how long until the merge with another. The DUEL companies were once individuals. They no longer have to compete with each other, they set a standard price and we HAVE to pay and there is enough of us to go around so they don't worry.

Our government has already had them on the stand and they play stupid as if they too are feeling the pain. Our government GAVE them tax breaks.

What can we do? Well, we have to buy gas for now but think about your next car being hybrid. Think about not going out as much or walking. Combine any small trips to big ones. Gas is over 4.00 and this summer they are saying up to 6.00 !

To summarize, every time there is a merger, you end up paying more on one or the other thing. Individuals will be safer if there is fair bit of competition amongst the service provider. If these mergers keep on happening then along with gas prices other commodities will also show an upward trend in prices.

Gas Price Update - dated : 1st June 2008
Crude oil is trading at $127.11 per barell which is shade below if peak in recent times. Well there is definitely some sort of relief as gas prices were increasing by the hour.

Gas Price Update - dated : 4th June 2008
Crude is trading near a 2 weeks low on signs that the Fed may stop cutting interest rates in a bid to bolster the dollar. In after hours access trading, crude is trading at $124.14/barrel on the Nymex.