Why is Fuel So Expensive in Europe Compared to the US?

In summary, Europe has a higher cost of gasoline and diesel compared to the US due to high taxes aimed at protecting the environment and promoting mass transit systems. The US, on the other hand, has lower gas taxes to encourage the use of private cars and its highway system. The difference in gas prices is significant, with Europe having prices of around $6 per gallon for gasoline and $4 per gallon for diesel, while in the US it is around $2.30 per gallon. The better mass transit systems in Europe make it possible for people to get around without owning a car, while in the US, a car is almost a necessity due to the lack of efficient public transportation.
  • #1
ShawnD
Science Advisor
718
2
The US has a lot of oil but much of the oil used is shipped in from the middle east. Gasoline and diesel are cheap in the US.

Europe doesn't really have much oil; most of the oil is piped from the middle east. Gasoline and diesel are insanely expensive.


If Europe is so much closer to the middle east and all of the oil can be brought in through pipes instead of boats; why is fuel so expensive there?
 
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  • #2
taxes..
 
  • #3
Then, the natural question, why does Europe tax fuel at such a high rate?

I have my opinions, but I don't live there.

Njorl
 
  • #4
So that the money can be spent protecting the environment, building good roads, etc. I'll take a look this evening what a liter costs in Euro's.. if I am not mistaken it's about the same price for a gallon in the US I'll need to have an American reference though..
 
  • #5
It's not the same at all. I live in Canada where gasoline is slightly more expensive than it is in the US (considiering exchange rate and crossing between gallons and litres). Foreign exchange students from Europe are just blown away by how much people around here drive. The concept of just going driving for the hell of it blows their minds; especially when you're driving a truck with a 5L engine.

As for a referance. Last I heard (few months ago), the cost of gasoline in Washington (the state, not the city) was about $2.30 per gallon.
 
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  • #6
Originally posted by ShawnD
It's not the same at all.
I said the price for a liter and a gallon should be in the same range.. and since a gallon are about 3.8 liters.. I don't drive (taking the train is free for students :P) so hold on for my price :)
 
  • #7
Sorry, I thought you meant $/L ~ $/L.

You seriously don't drive? How do you get around?
 
  • #8
Ok, I couldn't wait so looked it up on the web
The prizes in 2001 in NL were:

€1.275/l for gasoline
€0.885/l for diesel

converted that would be:
$6.034/gallon for gasoline
$4.189/gallon for diesel


and according to Shawn gasoline in the US is $2.30/gallon

That sure makes your hair rise, doesn't it? But I think there is a really really big difference in the kind of cars Europeans drive, compared with nothern Americans.. our mileage is much better.
 
  • #9
Originally posted by ShawnD
You seriously don't drive? How do you get around?
Bicycle, train, subway.. works perfectly (well, the car is not much better, let's say that :P) and it doesn't cost me a cent.. government sponsers students :D
 
  • #10
No seriously, how do you get stuff? When I buy groceries, I buy over $150 worth of it, it barely fits in the trunk of a small car. The place where I buy my shoes and jackets is about 5km away and no bus or train goes anywhere near that area. Several of my friends are a 20 minute drive away; that's about 1 hour in bus time.
I wouldn't be able to live without having access to a car.
 
  • #11
In Washington DC, the price of gas is $1.70-$2.00 per gallon.

Europe has much better mass transit systems than the US. The governments there spent a lot of money to build them, and they want people to use them. High gas taxes discourage private automobile driving.

The US has terrible mass transit. It spent enormous amounts of money building a superhighway system. We do not want to discourage people from using the highways, so we keep gas taxes low.

OT, I'm always amazed at the people who think Amtrak should be eliminated because it doesn't make a profit. They complain that it is subsidized by the federal government. The subsidies to Amtrak are actually insignificant compared to the subsidies paid to keep people driving their cars. The highway system is essentially a huge subsidy to the automotive industries.

Njorl
 
  • #12
Originally posted by ShawnD
No seriously, how do you get stuff? When I buy groceries, I buy over $150 worth of it, it barely fits in the trunk of a small car. The place where I buy my shoes and jackets is about 5km away and no bus or train goes anywhere near that area. Several of my friends are a 20 minute drive away; that's about 1 hour in bus time.
I wouldn't be able to live without having access to a car.
The groceries I do on the bicycle, the store is 5 min away. Clothes I buy downtown of my city, which is a 15 min bicycle ride (about 3-4 km), I could also take the bus, since it stops infront of my door, but that would also take 15 min so I always take the bike. If I want to be crazy I can go shopping in Amsterdam, about 25 miles away, which takes 35 min in a fast train, the Central train station is right in front of the shopping streets. Some friends live in other cities, it takes 30 min to reach by car, 30 min by train. The other week I visited a collegue, she went by bike, I by bus, we arrived at the same time. What else :P

The only trouble is rush hour, but that is just as bad or even worse by car (roads are REALLY crowded, no parking spots). Getting to work is a pain, since I have to travel all the way through Amsterdam, entering north-west, going north-east, and finally to the most southernly point. That takes me 1.5 hours to travel 30 mi but again, car won't be much better either.

So basically I don't miss it at all oh, and prices are astronomical to obtain a license.. and oh.. they are really strict so most people have to take the exam 2-3 times.
 
  • #13
Originally posted by ShawnD
The place where I buy my shoes and jackets is about 5km away and no bus or train goes anywhere near that area.
Oh, lol, I just notice so why don't you go by bicycle? I know.. I've been to the US, you are in the US right? Over there bicycles are not considered a mode of transportation :P
 
  • #14
There are no sidewalks near that shopping centre. There is maybe 1km worth of sidewalks the entire way. The rest of the trip would mean biking on grass (or thick snow) which takes forever. I did bike there before with some friends and it takes roughly 50 minutes by bike in summer time. In winter, it would take well over 2 hours. Snow really slows down how fast you can walk. Biking in 2 feet of snow is not an option.
 
  • #15
Originally posted by ShawnD
There are no sidewalks near that shopping centre. There is maybe 1km worth of sidewalks the entire way. The rest of the trip would mean biking on grass (or thick snow) which takes forever. I did bike there before with some friends and it takes roughly 50 minutes by bike in summer time. In winter, it would take well over 2 hours. Snow really slows down how fast you can walk. Biking in 2 feet of snow is not an option.
5km is 3 miles...do they not have roads where you live? I know it is possible, I used to live directly on the highway, which made bike-riding a pain.
 
  • #16
If you bike on the road, that means you WANT to die. If you want to try keeping up with cars going 70k, best of luck to you. I prefer not to put my life in extreme danger like that.
 
  • #17
Originally posted by ShawnD
If you bike on the road, that means you WANT to die. If you want to try keeping up with cars going 70k, best of luck to you. I prefer not to put my life in extreme danger like that.
Well, legally a bicycle is a vehicle, and you are supposed to be able to ride on certain roads.
 
  • #18
That's what the book says, it's not reality. There are many things the book says that you should absolutely never try. For example, you are allowed to ride your bicycle on a 2 lane highway (1 lane in each direction). Another example, if you are coming to a T intersection where you are forced to turn and you see a car coming from your left, that car is required to stop for you even though there is no light and no stop sign. Would you ever at any time trust that the person coming will stop for you? I wouldn't; I would just let him go by then make the turn after.
 
  • #19
isnt it something like, for every £1 of fuel you buy, cos of the high tax, you're only acually buying £0.15 of fuel.

or something.
 
  • #20
Originally posted by Monique
€1.275/l for gasoline
€0.885/l for diesel

converted that would be:
$6.034/gallon for gasoline
$4.189/gallon for diesel


and according to Shawn gasoline in the US is $2.30/gallon
*ughm* today I passed the tankstation, I forgot to look though (was going too fast :P) the only glimpse I got was a price of €1.99.. which would be a LOT more than the €1.275.. I'll have to check again in the morning :P
 
  • #21
Regarding public transit in the US: In the early 20th century Los Angeles had one of the best developed light rail systems in the world. Chrysler convinced the government to replace it with Freeways. I expect that the price of gasoline is similarly influenced by Detroit.
 
  • #22
I too felt like a target in the US.. why do drivers speed UP when you're trying to cross? Here it is perfectly safe to drive on a road along with the cars. Some roads are only the size of a single US lane, and they provide two way traffic for bicycles ànd cars :P

But almost all roads have a separate bicycle lane, which is of ashfalt, so very comfy and safe riding
 
  • #23
Originally posted by Monique
I too felt like a target in the US.. why do drivers speed UP when you're trying to cross? Here it is perfectly safe to drive on a road along with the cars. Some roads are only the size of a single US lane, and they provide two way traffic for bicycles ànd cars :P

But almost all roads have a separate bicycle lane, which is of ashfalt, so very comfy and safe riding

Very generic answer: They are dumb/stupid/ignorant/misconcieved/crazy/insane/needing-to-go-to-bathroom, or hungry (as is the norm in America).
 
  • #24
Foreign exchange students from Europe are just blown away by how much people around here drive.

You seriously don't drive? How do you get around?

No seriously, how do you get stuff?

And apparently, Canadians are blown away by how little Europeans drive :)
 
  • #25
The fact that I was in the automotive center of the world could have been an influence :P
 

FAQ: Why is Fuel So Expensive in Europe Compared to the US?

Why is fuel more expensive in Europe compared to other countries?

The main reason for the high fuel prices in Europe is due to the high taxes imposed on fuel by the government. These taxes are used to fund public services such as healthcare, education, and infrastructure. Additionally, Europe has stricter environmental regulations which require cleaner and more expensive fuel.

How do fuel prices in Europe compare to the rest of the world?

Fuel prices in Europe are generally higher compared to other countries, especially in the United States. This is mainly due to the higher taxes and stricter regulations mentioned earlier. However, there are also some European countries that have lower fuel prices due to government subsidies or lower taxes.

Are there any other factors that contribute to the high fuel prices in Europe?

Yes, in addition to taxes and regulations, the cost of crude oil and the exchange rate of the euro can also impact fuel prices in Europe. The cost of crude oil is a major factor as it is the primary raw material used to produce fuel. The exchange rate of the euro can also affect fuel prices as most crude oil is purchased in US dollars.

Is there any difference in fuel prices between European countries?

Yes, there can be significant differences in fuel prices between European countries. This is due to variations in taxes, regulations, and subsidies imposed by each individual country. For example, countries like Norway and the Netherlands have some of the highest fuel prices in Europe due to their high taxes, while countries like Russia and Belarus have lower fuel prices due to government subsidies.

Will fuel prices in Europe continue to rise in the future?

It is difficult to predict the future of fuel prices in Europe as they are influenced by various factors such as global economic conditions, political decisions, and technological advancements. However, as the demand for cleaner and more sustainable energy sources increases, it is likely that fuel prices in Europe will continue to rise in the long term.

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