As a fuel price war seems to be building among the supermarkets and crude oil price continues to stay low you will be seeing cheap fuel at the pumps for a while yet. But is fuel price the only important factor, actually the way you use it could save you more money than a lower pump price.
The Price of Fuel
There are all sort of rumours about why the cost of crude oil from the middle east remains so low. The most popular one suggests the Opec countries have always had plenty of oil to sell and just held on to it and kept the price high. The increased use and threat of fracking has now lead them to release massive amounts of lower priced oil to knock fracking out of the market no matter how cheap it is. This may or may not have any truth behind it but the fact remains; crude oil is cheap and that means fuel is cheap at the pumps. For the first time in over 10 years Diesel is actually cheaper than petrol, this is to do with technological advances in the production of diesel combined with the lowered price of crude oil. Once again, for most people the reason is not important, the price is!
It seems as though the supermarkets are about to start a price war with each other as Tesco, Sainsbury’s and Asda have all recently announced price cuts at their filling stations. Asda have even gone as far as putting a price ceiling on their fuel, promising petrol will not go over 111.7p per litre and diesel won’t rise above 108.7p per litre. Although the other big names have not mentioned any price ceilings yet, it is clear they are going to look to match or beat Asda.
What Does It All Mean To You?
This all means you are going to be able to buy cheaper fuel, that is an obvious fact and a very pleasing one to most people. However, the way you drive can actually have an enormous effect on how much you spend on fuel, more so than a few pence here and there at the pumps ever will.
Driving The Cost Down Yourself
By driving in certain ways you may in fact being burning through much more fuel than you need to, and by doing so costing yourself a lot more money. The MPG figures you see when you look at buying a new car are only really important if you drive the car with economy in mind. Of course, something like a Ford Focus EcoBoost will naturally cost less in the fuel than a car with a massive V8, but when cars are in a similar engine class and size the difference in how your drive can have a massive effect on the fuel used. In the next post we will look at some top tips for driving your car in a more economical way, this doesn’t automatically mean driving like your grandma, there is more to it than that. The prices are low at the pumps, they seem set to stay low for some time, so why not save yourself even more money and drive with economy in mind.