Diesel Fuel for Trucks and Buses
On-road diesel fuel explained
Trucks and buses have important jobs to get done. In fact, countless amounts of people rely on these types of vehicles to either get where they need to go or to get certain products that they need. And many trucks and buses wouldn’t be able to operate, run and function without diesel fuel.
The different types of diesel fuel
There are two main types of diesel fuel:
- Off-road diesel fuel: This is sometimes also referred to as red diesel fuel and is commonly used to power vehicles that remain off of roads as well as machinery that is used on construction sites and in the agricultural industry. This includes cranes, bobcats, generators, backhoes, bulldozers, tractors, forklifts, harvesters and other heavy-duty farming equipment. This type of diesel fuel is also used within the aviation, mining and traveling industries and is used to power equipment that you find at road shows, carnivals and county fairs. You can not use red off-road diesel fuel in standard commercial vehicles.
- On-road diesel fuel: As you may be able to guess from the name, on-road diesel fuel is used for vehicles that drive and stay on the road. This includes fleets of trucks, freighters, school buses and shuttle buses. On-road diesel fuel is also very commonly used by moving companies, excavation companies and landscapers.
The fluctuating price of diesel fuel
The type of vehicles that each kind of diesel fuel is used for is something that stays consistent. However, the same cannot be said for the price of diesel fuel. This is something that constantly goes up and down. The price of diesel fuel is affected and impacted by a few things, including:
- Supply and demand: This is a basic concept that applies to nearly every good or product out there on the market. A high demand for diesel fuel will make it more costly and expensive. When the need for diesel fuel is not so great, the price will drop. You will also see prices increase if there is ever a shortage of diesel fuel, making it less accessible.
- State and federal taxes: What customers pay for diesel fuel can change depending on what state you are in since each state’s local government adds their own tax onto the price of diesel fuel. Diesel fuel is also taxed on a federal level, which adds to its cost as well.
- The cost of refining diesel fuel: Since diesel fuel is always refined before it makes its way to the market, its price will change if the price of the refining process changes.
- The price of crude oil: The price of crude oil has a huge influence on the price of diesel fuel. So when crude oil costs fluctuate, diesel fuel prices will follow.
- Transportation costs: Diesel fuel needs to go from an oil refinery to a terminal for storage and then a fuel station where customers can purchase it. There is a considerable amount of transportation involved before the fuel is available to be sold. When those transportation costs increase, the price of diesel fuel will increase as well.
Diesel fuel from Cape Cod Oil & Propane
Whether your local Cape Cod business needs on-road diesel fuel or off-road diesel fuel Cape Cod Oil & Propane can help. In fact, we’ve been servicing commercial customers in the area for decades.
Our team can deliver premium diesel fuel directly to your door. Contact us today to become a Cape Cod Oil & Propane diesel fuel customer.
