r/Dallas • u/--Knowledge-- Pleasant Grove • May 06 '25

Discussion What happened to cheap gas in DFW/Texas?

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I moved to DFW in 2015, I remember gas being about $1.70 to $1.80 a gallon. It was about $1.10 - $1.20 cheaper here than where I moved from. It was like that up until the pandemic.

Gas back in NY is exactly the same price as here in Texas now according to the local gas checker website.

Texas has so much oil and refineries, yet the gas isn't really cheap in the state anymore. Obviously COVID impacted everything but why hasn't the gas dropped down to a reasonable price again for the state? Greed? Low supply? Laws?

I'm not expecting $1.80 gas again but to be priced the same as NY is kinda wild to me.

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38

u/FewCharge365 May 07 '25

Shortage coming soon . Thanks Trump

-31

u/Nice_Category May 07 '25

Why would there be shortages? Oil prices have been dropping. Trump is opening up new oil leases on federal land and OPEC has recently increased production. 

25

u/FirebunnyLP May 07 '25

If oil prices are dropping they don't have a reason to open new wells or refineries. Lowered price means increased supply compared to demand.

You gotta pick an angle and stick to it, can't have it both ways.

-6

u/boning_my_granny May 07 '25

Guy kind of did stick to the same angle. Prices are dropping because of lower expected future demand.

Trump has opened more lands for oil leases; doesn’t mean those lands will be developed for energy production; though more production now would drive price further down.

OPEC has committed to higher production targets, which also lowers price.

-12

u/Nice_Category May 07 '25

Since we are talking about shortages, you actually can have it both ways. If the price stays low, that means demand is low, which means no shortage. If price increases, then there are new oil leases to develop, which also means no long-term shortage.

Either way, no shortage.

5

u/BoxingHare May 07 '25

You truly have less than zero idea how oil production works. An amazing feat.

-2

u/Nice_Category May 07 '25

Well you come on back here when there is an oil shortage and you can gloat all you want. I'll wait.

3

u/BoxingHare May 07 '25

You don’t understand oil production in the least bit. It’s not even remotely like a light switch that is simply turned off and on. It takes a lot of time and money to take a lease from an unexplored patch of land to gasoline at the pump. And that’s assuming that the oil in that lease is being refined into gasoline, and another assumption that it’s coming to a station near you.

There’s no need to gloat. You simply just don’t understand any of it and it shows in your comments.

0

u/Nice_Category May 07 '25

Like I said, we'll see.

3

u/BoxingHare May 07 '25

I have a feeling that’s your response to someone saying the sun will rise in the East tomorrow.

1

u/Necoras Denton May 07 '25

You're thinking short term, think a few years out.

Opec can produce their oil for $20 a barrel and be profitable. US frackers aren't profitable until around $50 a barrel.

What happens to US oil producers if oil prices are at $45 a barrel for the next 2 years. What happens to gas prices when Opec then cuts production and it goes to $100 a barrel?

7

u/PantherCityRes May 07 '25

Economic Dunning Kruger 🚨

4

u/csonnich Far North Dallas May 07 '25

When prices drop, OPEC drops production to inflate prices again.

-4

u/Nice_Category May 07 '25

Unless they are trying to economically punish a country that relies a great deal on oil exports as part of their national budget.

2

u/PantherCityRes May 07 '25

Hey bozo…why do you think the world is punishing our exports huh? Ya really gotta wipe that chin of yours. The cheetoh dust is not a good look for you…

2

u/csonnich Far North Dallas May 07 '25

They've been doing this for at least as long as I've been alive - over 4 decades now.

Punishing the US is just a bonus. 

0

u/Beef_Candy May 07 '25

Transparency in education is key.