Where each dollar goes when you fill up with gasoline

Reported by: Rebecca Rivers
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Updated: 2/28/2013 10:00 am

When gas prices make you want to scream, try not to deafen the guy in the convenience store. It's not usually his fault. Store markup barely adds to the price of gas.

If you really want to blame someone, you could blame OPEC. The organization of petroleum exporting countries, a group of 12 nations, has a significant influence on the cost of crude oil: for every dollar you spend on gas, crude takes the biggest chunk, about 72 cents. The second-largest factor in the price: taxes. The U.S. federal government has a tax on every gallon bought. So do state and local governments, whose taxes depend on where you live. They all add up to approximately 13 cents on every gas dollar.

Unfortunately for drivers, we can't just take oil from the ground, filter out the dirt, and stick it in our gas tanks. We've got to pay for the cost of refining, the process of turning crude into actual gasoline. That covers about 8 cents on our rapidly-shrinking dollar. And then actually getting gasoline to stations, and maybe throwing in an advertisement here and there makes up 7 cents on the buck. Now all that adds up to a dollar, 100 percent of the cost of gas. So you can see how an actual filling station has practically no influence on the price. It does get a cent or two, but if you go inside and buy a drink and a donut that helps keep their business, fueled.

Now currently Lubbock gas prices are averaging around $3.43 a gallon with the lowest prices at the Murphy USA stations at both the South Loop and Quaker as well as 4th and the Loop for $3.39 a gallon. That's about 35 cents lower than the U.S. average for a gallon of gasoline which is $3.78.

Of course diesel fuel remains significantly higher with consumers paying a whopping $4.16 a gallon on a national average. Keep in mind that diesel fuel makes up a big portion of the rising expenses ag producers are facing.

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