What It Costs

According to the EIA (Energy Information Administration), the cost to produce and sell gasoline to consumers includes the price of crude oil, refining costs, marketing and distribution, retail station costs and taxes. For example, in June, the average cost of a gallon of gasoline was $4.05. The breakdown was as follows: 74 percent crude oil, 9 percent refining, 7 percent marketing and distribution, and 10 percent taxes. The same month, the average price of diesel fuel was $4.68 a gallon with the cost breakdown as follows: 65 percent crude oil, 17 percent refining, 8 percent distribution and marketing and 10 percent taxes.