Oil & Gas

22 Feb 2022

Diesel Nearing Highest Price in a Decade

22 Feb 2022  by   

(Alex Bengel/KTVF)
BISMARCK, N.D. (KFYR) - Fuel prices continue to rise, and that means diesel prices are up as well. While most motorists don’t use that blend of fuel, it makes a big difference to those who need it.

There’s a simple reason for high diesel prices.

“Well, frankly, as the price of oil goes up, it pushes the price of diesel up, it’s that simple,” said Eugene Graner, president of Heartland Investor Services.

Diesel in Bismarck sells for $3.75 per gallon. That’s up about ten cents from a month ago and almost a dollar from a year ago. One of the reasons for the increase? Tensions in Eastern Europe.

“The risk is not necessarily that Russia will invade Ukraine, but the west will react by issuing harsh sanctions. And Russia may feel compelled to then inflict pain on the global economy by cutting oil exports. That’s the primary concern,” said Patrick De Haan with GasBuddy.

While most people don’t purchase diesel fuel on a weekly basis, an increase in prices can still have an impact on everyday North Dakotans.

“As fuel prices go down, the cost of moving those shipments goes down as well. When fuel prices go up, the cost of moving that shipment goes up as well,” said Marlin Kling, president and CEO of Midwest Motor Express.

Diesel prices are also on the rise because planting season is just around the corner.

“They’re getting supplies ready for the planting season. Farmers start using a pile of diesel fuel,” said Graner.

Experts expect the price of both diesel and regular gasoline could reach four dollars per gallon by summertime.

Experts say, in addition to unique factors like the situation in Ukraine, another element to consider is that diesel prices always peak in the winter because it is also practically the same compound as home heating oil.

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