Diesel Fuel Shortage 2022
"Nothing is as important and as publicized as the fuel shortages in the present year, 2022. The news has been mixing up the war in the Ukraine, the Biden administration closing the Keystone pipeline, Presidents Putin of Russia, and Zelensky of Russia into one big horror story. Is the fuel crisis so bad if according to OPEC more than 70 million barrels of petroleum are produced worldwide every single day? This translates into almost 49,000 barrels being extracted each minute. Incidentally the United States is on the top of the list of world oil consumers.
The connections from ship to suppliers need to be laid out on a silver platter clearly for all to understand if we want to have a successful supply chain. When a supply ship comes into port the containers must be removed from the ship as quickly as possible to get the products to the companies that ordered them and ultimately to the consumers in a timely fashion. Since COVID-19 began there has been a massive backup of product containers waiting in ports to be transported to their proper destinations. One reason this was happening was a lack of truck drivers to transport the supplies and even when the truckers began to return to their jobs there were not enough containers to transport the products from distant countries. This problem is still with us, and reliable drayage services are trying to improve the transportation of supplies to their destinations.
New and serious difficulties in the supply chain have cropped up since President Biden has curtailed the use of a crucial oil pipeline combined with the threat of a third world war is delaying and complicating the import of fuels specifically diesel which is exclusively used to fill the anxiously waiting tanks of the trucks transporting the goods in the supply chain.
The stockpiles in the United States of diesel fuel are at a twenty-year low. Just when Americans are doing a great deal of their shopping online the supply chain just cannot keep up with the demand. There are so many reasons for the shortage of diesel fuel and in this article, we will touch upon several of them.
The Texas Deep Freeze
The natural way of the earth is that Texas is a pretty warm state generally. However, this winter’s cold weather in Texas caught everyone by surprise. Just when we needed the Texas oil refineries to increase their production due to the shortages for the reasons listed above, (the war in the Ukraine) and the closing of the Keystone pipeline on President Biden’s first day in office, Texas’ oil production was greatly reduced.
Texas is the largest oil-producing state in the nation with over 4.6 million barrels extracted daily. After the oil is extracted, the oil needs to be refined to diesel grade and Texas is the home of the nations top diesel refineries.
While general gasoline prices are skyrocketing, diesel fuel is hitting record high for its costs. Dave Puma, a truck driver claims that fuel costs are more than $1,000 a month and he only transports locally! Each fill up of Puma’s 18-wheeler that has two huge diesel tanks costs $500.
Unfortunately, during the height of the pandemic the demand for diesel fuel decreased since fewer planes were taking off and trucks were not being utilized fully. In fact, many of the oil refineries that were shut down during the pandemic have not as yet reopened..."
https://www.podlogis.com/post/diesel-fuel-shortage-2022
"Nothing is as important and as publicized as the fuel shortages in the present year, 2022. The news has been mixing up the war in the Ukraine, the Biden administration closing the Keystone pipeline, Presidents Putin of Russia, and Zelensky of Russia into one big horror story. Is the fuel crisis so bad if according to OPEC more than 70 million barrels of petroleum are produced worldwide every single day? This translates into almost 49,000 barrels being extracted each minute. Incidentally the United States is on the top of the list of world oil consumers.
The connections from ship to suppliers need to be laid out on a silver platter clearly for all to understand if we want to have a successful supply chain. When a supply ship comes into port the containers must be removed from the ship as quickly as possible to get the products to the companies that ordered them and ultimately to the consumers in a timely fashion. Since COVID-19 began there has been a massive backup of product containers waiting in ports to be transported to their proper destinations. One reason this was happening was a lack of truck drivers to transport the supplies and even when the truckers began to return to their jobs there were not enough containers to transport the products from distant countries. This problem is still with us, and reliable drayage services are trying to improve the transportation of supplies to their destinations.
New and serious difficulties in the supply chain have cropped up since President Biden has curtailed the use of a crucial oil pipeline combined with the threat of a third world war is delaying and complicating the import of fuels specifically diesel which is exclusively used to fill the anxiously waiting tanks of the trucks transporting the goods in the supply chain.
The stockpiles in the United States of diesel fuel are at a twenty-year low. Just when Americans are doing a great deal of their shopping online the supply chain just cannot keep up with the demand. There are so many reasons for the shortage of diesel fuel and in this article, we will touch upon several of them.
The Texas Deep Freeze
The natural way of the earth is that Texas is a pretty warm state generally. However, this winter’s cold weather in Texas caught everyone by surprise. Just when we needed the Texas oil refineries to increase their production due to the shortages for the reasons listed above, (the war in the Ukraine) and the closing of the Keystone pipeline on President Biden’s first day in office, Texas’ oil production was greatly reduced.
Texas is the largest oil-producing state in the nation with over 4.6 million barrels extracted daily. After the oil is extracted, the oil needs to be refined to diesel grade and Texas is the home of the nations top diesel refineries.
While general gasoline prices are skyrocketing, diesel fuel is hitting record high for its costs. Dave Puma, a truck driver claims that fuel costs are more than $1,000 a month and he only transports locally! Each fill up of Puma’s 18-wheeler that has two huge diesel tanks costs $500.
Unfortunately, during the height of the pandemic the demand for diesel fuel decreased since fewer planes were taking off and trucks were not being utilized fully. In fact, many of the oil refineries that were shut down during the pandemic have not as yet reopened..."
https://www.podlogis.com/post/diesel-fuel-shortage-2022
