How much does this energy cost?
How much doest petroleum energy cost per year?
- 1 decade agoFavorite Answer
That's a pretty big question. How much does it cost in total? For the U.S. or the world? Per person?
Let's start with some figures: The world consumes about 85 million barrels per day or 31 billion barrels per year, of which the U.S. consumes about 24%. The average cost of oil last year was about $94 per barrel. So the direct cost of using petroleum energy was around $2.9 trillion for the world and $700 billion for the U.S. That works out to roughly 50 cents per person for the world, and $2 per person for the U.S. (because we burn so much compared to how many people we have).
But that's just the cost of purchasing the oil. Then there's transportation, refining, and delivery. The average price of retail product (like gasoline and heating oil) was about $3.50 per gallon last year, or about $175 per barrel.
And there are cleanup costs, which are not included in the retail price. These vary by locality, but California's pollution-related costs were estimated at $28 billion. California burns 657 million barrels of oil per year, so that comes out to a cost of $42 per barrel or 85 cents per gallon in social cost. That's not paid by the producer or the user-- it's paid mostly by the taxpayers.
This suggests that about 1/3 of the true cost of oil is not reflected in its price-- a taxpayer subsidy so oil consumers can save money at our expense.Source(s): http://tonto.eia.doe.gov/dnav/pet/pet_cons_psup_dc... http://www.eia.doe.gov/basics/quickoil.html http://www.treehugger.com/files/2008/11/california... http://www.statemaster.com/graph/ene_pet_con-energ...
- 1 decade ago
their are statistics of this on nearly every news channel
check anything associated with DJIA