[Hat Tip Mailroom] This is a very interesting little bureaucratic energy issue with big downstream ramifications.
Almost every transportation and manufacturing company uses the U.S. Energy Information Administration (EIA) “weekly publication of average diesel prices” in order to calculate shipping costs. According to people in the industry, “this national average is what almost every trucking and logistics company bases their fuel surcharges on.”
However, on June 13th the U.S. Department of Energy, Energy Information Administration, stopped reporting the average weekly diesel price. For almost a month companies have been using an outdated average price in order to calculate shipping costs and fuel surcharges. [See Screengrab]
Originally the EIA said, “We are implementing new methodology to estimate weekly on-highway diesel fuel prices. On June 13, we started conducting the On-Highway Diesel Fuel Price Survey using new statistical methodologies.” {LINK} However, the EIA has not updated anything since that announcement.
As a result, all of the transportation charges and fuel surcharges have been underestimated and priced for almost a full month. The political motive for this move is transparent, it stops higher diesel prices from being passed along in the supply chain… which gives an artificial pause on inflation that comes as an outcome of higher diesel transportation costs (specifically trucking). As explained to CTH:
“The department of energy has not published a national average of diesel fuel prices since the week of June 13. In all of their decades of doing this, they have never missed a week, until that week. This EIA national average is what almost every trucking and logistics company bases their fuel surcharges on.
The DOE “changed their methodology” for calculating this and the week it was supposed to go live, their systems “crashed” (hacked?).
This is going to be a billing nightmare for trucking companies and shippers alike. The lobbying agencies in the transportation company ATA, TIA, TCA, NPTC, have all been very quiet about this. Bad stuff with lots of trickle-down implications.”
One way to tackle inflation is to take away accurate government statistics, that are used as accepted benchmarks by private industry, to calculate downstream prices.
Can you think of another reason for the political and ideological Dept of Energy to stop giving accurate estimates of current average diesel prices?
Problem solved – use this:
https://landline.media/diesel-numbers-down-this-week/
Is this really any surprise given what was done relating to the CCP-Virus pseudo-pandemic? Every ‘standard’ of data collection, reporting, medical care, etc. was changed in order to advance an ideological agenda.
No data or information provided by the ‘government’ or any main-stream source can be trusted any longer.
Death by a thousand bureaucrat cuts!
This is not a government for the people by the people!
Of For & By they people ??
Not to be rude but where have you been ??
The Government Of the United States and the wealthy elites that are the real owners and controllers tossed average working Americans under the bus over 50 years ago and that carnage continues to this day .
Nothing from a government office or alleged elected representative is ever the truth NOTHING !
It’s always an out right lie or a lie by omission !
Self serving parasites are all that’s left collecting a government paycheck .
From the white House to the school house from the cop on the street to the millions of paper shufflers all controlling and sliding in any direction to avoid accountability . But notice all their salaries benefits and retirement MUST BE PAID !
While Main Street people are continually tossed under the bus !
This will not be ending well !
Here is an interesting video about DEF supply chain issues created by Union Pacific railroad. It is said Union Pacific is controlled by BlackRock…
Here is a little history on Tom Donilon…
https://www.thenation.com/article/archive/former-fannie-mae-lobbyist-tom-donilon-become-national-security-adviser/
They may be owned by Blackrock, IDK, but travel across thousands of miles of flyover America, a lot of it inhabited by patriots.
The Dutch farmers threw the government off their boil the frog a degree at a time game. That game is going on here too.
Haven’t you figured out yet that EVERY large corporation and EVERY government in the world is controlled by Blackrock?
Ever heard of lockstep? Who do you think gave those orders? Blackrock.
Estimate prices?
Estimate??
Estimate??? Just take a drive. Look at the prices posted on those tall signs at any interstate exit. it IS NOT rocket surgery.
Pretty easy to manipulate methodologies.
It all comes down to a single number … sample size, and expanding the sample size to include a data set with the right numbers.
In this case expand, a simple example: include fuel stations not offering diesel, which would be a statistical 2-for … increases the denominator of the data base while adding ZERO to the numerator.
Its the same way the NORMS and RECORDS are calculated by the weather channel … selectively move the date window of the data just enough and voila … CLIMATE CHANGE.
Then of course there is always the tried and true data omission for scientific reasons excuse that is also practiced as needed.
In Delusional Joe’s world, no one is allowed to make a profit if he deems it so. The only thing missing is the twat to the trucking companies, the one that looks like the one he sent to gas station owners.
He forgets who actually pays the bills.
CTH member “Stu” made a comment that is burried among the string of comments that needs to elevated and understood.
There WAS enough blind faith in those “Government Reports and Estimates” that use of those numbers are mandated for use to ensure a degree of consistency where needed such as budgeting and costs of money.
This change in methodology is far more dangerous and “far reaching” than people realize. It is aimed at two key targets … the media that “reports the averages on TV” and most importantly to the businesses that have to “use them to budget costs”. That second target will snow ball the false reporting when REPORTED INFLATION is calculated.
A simple example: ask anybody who has a Federal Contract what “rate tables” and “cost guidelines” they have to follow. The data set MANDATED is referred to as the GSA Rates (General Services Administration).
It cost me 32 dollars to ship a 26 dollar item. UPS.
I’m sure Dominion is working on the software to help properly tabulate and aggregate these numbers.
“We are implementing new methodology to estimate weekly on-highway diesel fuel prices.” Classic government double talk which translates to “we’re just going to make it up as we go along.”
More of Biden’s Energy Phuckery…….
https://www.dailymail.co.uk/news/article-10983315/Oil-U-S-reserves-head-overseas-gasoline-prices-stay-high.html
Another probably somewhat likely possible coincidence (mostly) that the reserve drawdowns will end in October so that the real numbers will not impact the “official” inflation numbers released until mid-November.
Does anyone have a guess what might be occuring in early November that might be impacted by that?
So, when do true costs catch up with the Users?
Despicable, but what else can you expect from a destructive regime? I hope that shippers will raise the price to make sure that they are covered. They can refund later if their charges were over the actual cost.
I have been waiting for the EIA June 30 report that they delayed, saying that they were using new methodology. The report came up today. I wanted to see if in April we were still importing Russian petroleum products or if Biden actually carried out the ban that he said that he was putting in place.
The US was still importing in April 360,000 barrels per day from Russia.
https://www.eia.gov/dnav/pet/pet_move_neti_a_EP00_IMN_mbblpd_m.htm
Things are not going to be accurate or judged historically.
Inflation is 8% now but 20% if using 1980’s formula.
Which was more accurate?
Get used to it.
They cannot lead us where they want to go without changing the rules.
EPA was created by Nixon admin. one of many reasons I believe he was a liberal in Republican clothing — i.e., wage and price controls, creation of Fed. Dept. Education energy embargo (causing long lines at gas stations), eliminating gold standard for the dollar, etc.
I believe the Uniparty concept wasn’t as well understood by ordinary citizens back then as it is now, if it is now. Two sides of the same coin. Uniparty versus patriots. 70’s were pretty spicy and violent, too. Haven’t seen much of that yet, considering everything these days seems to be livestreamed as it happens.
Iirc , jimmy carter created the dept.of ed. I recall candidate for president Ronald Reagan stating his first order of business when elected would be to abolish it ,instead their funding was increased and we’ve been burdened by then ever since.
sounds nefarious, but as of noon pacific time 7/6 our diesel is about 45 cents cheaper than it was last week
we do about 1.7 million gallons a month
so perhaps the Biden Backfire effect is happening again – manipulate the data at the wrong time.
Right of of the CCP playbook, their bosses.
Every single part of this worthless government is going to the mat for this decrepit, corrupt SOB. Absolutely unreal.
It is exactly like that. Manipulation pure and simple. The new algorithm designed to hide the decline er rather increase failed and needs fixing perhaps or simply a stalling tactic designed to wreak havoc and postpone the bill a bit at always greater cost overall. You start tinkering like this like FDR and his braintrust of communists did and we could get some really crazy bad economic effects. The press will tout that Biden is saving us. What could go wrong? Might need a bigger war.