Storm chasing may be suspended

[Ed Schoenborn]

A slight possibility exists that all storm chasing may be suspended due to no gas available. A bill is being considered by congress that would cap gas prices at $2.40 /gal. If this bill passes and goes into effect most gas stations would close, no gas would be available and the few gas stations that had any gas would have such long gas lines that getting gas for chasing would be extremely difficult. Remember the long gas lines of the 70's during the term of Richard Nixon and what caused them? Nixon established wage and price controls on many things including gasoline. With prices capped, no gas.

 

[Brandon Goforth]

I guess I'm not fully understanding the issue here, why would a gas cap cause most gas stations to go out of business?

 

[Ed Schoenborn]

Simple, if prices were capped whatever gas any stations had would be quickly sold and they would be unable to buy any more to sell. Thus with no gas to sell the station would close.

 

[Chris Hayes]

I dont think (I hope) we have to worry about that bill passing. There are enough intelligent (albeit not enough) people left in the House and Senate who know that something like that would be disastorous. It's sad really, because there is no quick fix to gas prices. In the years coming, there will be less chaser vehicles on the road, but I believe that with chasers teaming up we can maintain the hobby.

 

[Andrew Herron]

No link, no bill number?

With prices they are now and where they have been I doubt it will pass with such a low dollar amount. I could see a cap at $3 working, but not $2.40, those days are long gone?

 

[Jim Saueressig]

U.S. Rep. Maurice Hinchey plans to introduce legislation in the next two weeks that would give President Bush the authority to control the cost of gas. He would like to see the president cap gas prices at their March 2006 level -- $2.49 per gallon.

Full Article Link

 

[Joey Ketcham]

Gas stations aren't going to close because of capped gas prices, why would they?

Gas stations make very little profit off the gas they sell, they do make a little profit but it's their least profitable product they sell. It all goes back to the oil companies.

We'll be fine, trust me. 2 years from now when gas is $7/gal we'll be sitting here saying "remember 2 years ago when gas prices were suppose to be capped causing gas stations to close down... wonder whatever happened to that"

 

[joel ewing]

Actually, it was during the Carter administration that I found it the most uncomfortable. The speed limit was 55mph. And it was enforced, too. Can you all imagine driving across West Texas at 55??
What a folly that was. Not surprising.

 

[rdale]

Might as well turn off StormTrack then... Sounds like we fixed the problem to chaser convergence, all driving has now been banned from a bill that might be considered by someone somwhere.

 

[Bill Hark]

I am not worried at the moment, but I think the future looks grim for chasing, especially long distance chase trips. If there is ever a disruption in supply (war, major terrorist attack at refineries etc.), gas may be rationed by the government. Travel becomes more difficult. I don't think one could get extra gas ration cards for chasing. Even without government rationing, the effect could be the same if to obtain gas, one has to wait hours if it is even available.

Bill Hark

 

[Mikey Gribble]

Well if the price keeps climbing like it has some people won't be chasing much anyways. I am sure some people find this hard to believe, but I honestly never looked at gas prices until the other day. I knew we were above $3 a gallon, but I didn't realize we were almost to $4. That is insane. Even when I fill up with a quarter tank left it costs $60. I have spent a small fortune over the last 10 days and I'm a little bit scared to go check my account balance. I got lucky and made a few video sales so I should actually make a little money off this fiasco, but you can't always count on that to offset costs. It is making me think twice about chasing mediocre setups since I have to consider the >$100 price tag that goes along with it. I never used to think much about it, but it is certainly entering my mind now before I head out.

 

[rdale]

A local TV met up here has a blog and he references a guy who has done a near-flawless job of gas price predictions...

http://blogs.woodtv.com/?cat=1

Summer 2008 outlook from Patrick (and a little from Bill at the end):
Gasoline:
Gas reset to $4.19 Friday AM 5/30. Late May prices peak to $4.15+, slowly decline into early-to-mid June, perhaps as low as $3. Early July will have much of the same, people will be rejoicing when prices come under $3, but that doesn’t look entirely realistic as hurricane season approaches. Traders will begin focusing on any hurricane that develops, and starting in mid-August, we’ll see prices fluctuate quite a bit. If any Category 3 or higher hurricane strikes West of the Mississippi in the Gulf, expect gasoline to jump right back to Spring highs or even higher. If the 2008 hurricane season is a non-event, expect market fundamentals to kick in and we may see a large correction in gasoline prices. I think that with demand slowing late Summer and oil prices due to come back down, it will boost crack profit, which will entice refiners to make utilization rates climb all summer leading to a potential collapse in prices this fall/winter- perhaps as low as $2.50 starting in October and lasting through mid-November.

Bill Says: I think the hurricane season will start early and be significantly more intense (not as bad as 2005, though) than each of the last two years. I think the western Gulf is vulnerable. Water temperatures are a little warmer than average and it’s been hot in Texas (102 in Laredo yesterday). Because of this, I can’t see gasoline dropping to $3. The comments from meteorologists most respected on the topic of hurricanes (Bill Gray, Joe Bastardi, NHC) will cause speculators to keep the price from falling too much (not below $3.60?). When (not if) the first hurricane threatens Gulf oil…the oil companies will look real bad if they jump the price up too far too fast. However, up they will go. Regarding canceling vacations…I think West Michigan is a great place to vacation - I travel to see relatives…other than that, I spend my time close to home.

 

[Shane Adams]

Maybe eventually, when only the top 10% can still afford to drive, the lack of sales (from the other 90%) will finally get them to stop screwing us over and understand you can't dictate a major market without wrecking the economy. Or, they'll keep prices ridiculously high, and they'll eventually go broke along with the rest of us. Unless the cost of living is decreased, or wages are increased, one of those two will happen someday.

I know I'm not intelligent regarding the "world" and how all this business stuff works, but I do know that people making the same wages at $2/gallon vs $4/gallon or even $5/gallon, are gonna start hurting real bad. And they'll stop buying gas, not to protest, but because they won't be able to. Maybe I'm missing something, but when your income doesn't change, and your living expenses double (through inflation, not personal choices), that's bad.

 

[Steve Polley]

I have noticed more so this year alot of 3 and 4 people chasing in the same vehicle. I have been splitting the costs up to this point but when you chase for about ten days straight like I have, it starts to make a deep hole in the bank account. Im now looking to chase with 3-4 people in my 30mpg car just to be able to still do so.

 

[Cort Scholten]

A local TV met up here has a blog and he references a guy who has done a near-flawless job of gas price predictions...

Yes, Patrick has been doing a good job with predicting hikes this year. He has studied on his own time what affects gas prices in the Grand Rapids area, and he has a website @ thegasgame.com. It's saved me a fair amount of money, that's for sure. I wonder what he'd say about this capping bill. He'd probably say that it would never pass and it would be an utterly stupid idea if it did...