BajaNomad

extra pemex increase jan 1st.

bajagrouper - 12-28-2014 at 06:20 PM

I see Pemex will add a " one time " LOL.. gas increase of 3% plus it usual 9 centavo first of the month increase..........

http://www.poresto.net/ver_nota.php?zona=yucatan&idSecci...

[Edited on 12-29-2014 by bajagrouper]

Sweetwater - 12-28-2014 at 06:24 PM

Mi Espnaniol es horrible'....what does that calculate out to in pesos per litre?

woody with a view - 12-28-2014 at 06:24 PM

let the revolution begin!

willardguy - 12-28-2014 at 06:27 PM

like always, they got it and we need it!:(

mtnpop - 12-28-2014 at 07:09 PM

Dang,
Just saw diesel in Colorado under $3.00 a gallon and unleaded regular at $1.90 and these prices have .38 cents/gallon road tax in them
looking fwd to headin south out of the frozen hills to warmer weather but not lookin fwd to fillin the fuel tank...

Minus 11 yesterday morning so the firewood pile is dwindling...

Hook - 12-28-2014 at 07:47 PM

A rough translation on pricing:

In this sense, the price of gasoline Magna will have cost this year end 13.31 to 13.70 pesos in 2015; in the case of the premium, the price will increase from 14.11 to 14.53 pesos, and so will the diesel, which will go from 13.94 to 14.53 pesos.

It appears that this annual increase will replace the monthly increases. But it is far more than the past annual total of all the monthly increases.

This is getting ridiculous.

chuckie - 12-28-2014 at 09:35 PM

Seems like it's a plan to drive us out? With all the other issues, makes a guy wonder...

chuckie - 12-29-2014 at 03:44 AM

Good point, I guess I wonder when they will stop, if ever...AND we all know when the dollar "normalizes" again the prices wont drop...

bajabuddha - 12-29-2014 at 04:15 AM

The brunt of this is on the backs of the Mexicanos. We can afford it. If you have to ask if you can, you can't. Inconvenience yes. Ever seen a gringo pull up to the pump and put in 50 pesos of fuel in their Ranger yet?

Also, with the devaluation of the peso and the fuel increase(s) I haven't seen any mention of a National COLA for Mexican citizens. I'm getting one.

[Edited on 12-29-2014 by bajabuddha]

DENNIS - 12-29-2014 at 07:43 AM



Mexico needs to get money from some place. A huge proportion of the labor is done for cash, so income tax is dismal.
Ohhh well.....waddayagonnado?
I feel for the middle class. I mean...have you seen what they pay for groceries?

DENNIS - 12-29-2014 at 07:46 AM

Quote: Originally posted by woody with a view  


let the revolution begin!




Years too late for that.

Sweetwater - 12-29-2014 at 10:02 AM

Mi computer posted my post again.....:lol:

[Edited on 12-29-2014 by Sweetwater]

durrelllrobert - 12-29-2014 at 10:45 AM

Quote: Originally posted by Hook  
A rough translation on pricing:

In this sense, the price of gasoline Magna will have cost this year end 13.31 to 13.70 pesos in 2015; in the case of the premium, the price will increase from 14.11 to 14.53 pesos, and so will the diesel, which will go from 13.94 to 14.53 pesos.

It appears that this annual increase will replace the monthly increases. But it is far more than the past annual total of all the monthly increases.

This is getting ridiburrous.


Let's see: Dec 2014 price =13.31p/liter = 50.31 pesos/US gal and on Dec 5th the peso/$ exchange rate was at 14.33 which means the $cost/gal was $3.51.

Now with the Jan. 2015price increased to 13.70p / liter = 51.78 p/US gal but todays peso/$ exchange rate is at 14.71 so the $cost/ gal is now $3.52 (a whole 1 cent increase).

chavycha - 12-29-2014 at 12:02 PM

Quote: Originally posted by soulpatch  

It's hard on folks making $150MXN/day.


No kidding. Next time you're at the Pemex, check out the number of pumps that have clicked off at 50 or 60 pesos.

Saw an article a few years back (2007ish) which compared the average US off-freeway gas station purchase to the neighborhood's poverty rate. Incredibly close correlation between low median purchase amount and high poverty rate.

AKgringo - 12-29-2014 at 02:10 PM

Given the numbers that durrellrobert posted, I wonder if the one cent (US) increase is a coincidence, or an attempt to tie the fuel price to the dollar instead of peso? It has to be frustrating to the Mexican people that when the government owned commodity loses value on the international market, they stick it to their domestic customers in order to maintain the revenue stream!

woody with a view - 12-29-2014 at 02:20 PM

I guess $3.50 isn't too bad for me to be on vacation chasing fish and surf for 5 days.

And so it starts...

BajaCactus - 12-29-2014 at 02:37 PM

The sale of fuel in Mexico will change dramatically in the next couple of years. Pemex has organized a series of events to take place in order to prepare Mexico for the incursion of foreign Petrol companies to be allowed to sell their fuel in Mexico starting 2017.

Amongst those changes, starting January 2015 Pemex will no longer set a fixed final price to the public on fuel, instead, they will set a "Maximum" final price and every gas station owner will be free to set their own price, as long as it is not higher than the Maximum allowed by the Mexican Government.

This is what we are seeing happening on January 1st... the increase of 3% on fuel to the public is been authorized as the "Maximum" allowed price during 2015. Supposedly no more monthly increases.

And so it begins...

Antonio M.

monoloco - 12-29-2014 at 02:42 PM

Quote: Originally posted by woody with a view  
I guess $3.50 isn't too bad for me to be on vacation chasing fish and surf for 5 days.
Well, it really sucks if you live here.

AKgringo - 12-29-2014 at 02:44 PM

BajaCactus, Thanks for the info! Many people like me are willing to offer an opinion or best guess, but it is refreshing to get an actual answer!

bajagrouper - 12-29-2014 at 03:17 PM

Quote: Originally posted by durrelllrobert  
Quote: Originally posted by Hook  
A rough translation on pricing:

In this sense, the price of gasoline Magna will have cost this year end 13.31 to 13.70 pesos in 2015; in the case of the premium, the price will increase from 14.11 to 14.53 pesos, and so will the diesel, which will go from 13.94 to 14.53 pesos.

It appears that this annual increase will replace the monthly increases. But it is far more than the past annual total of all the monthly increases.

This is getting ridiburrous.


Let's see: Dec 2014 price =13.31p/liter = 50.31 pesos/US gal and on Dec 5th the peso/$ exchange rate was at 14.33 which means the $cost/gal was $3.51.

Now with the Jan. 2015price increased to 13.70p / liter = 51.78 p/US gal but todays peso/$ exchange rate is at 14.71 so the $cost/ gal is now $3.52 (a whole 1 cent increase).



Why would you use a Dec 5th peso price,today is Dec 29th, the peso is 14.71 and in 2 days the price will be up 3%, not 1 cent.
guess we will have to wait 2 days and see what the exchange rate is then and what price per liter is........
Glad my new Subaru is getting 35 MPG here in Mexico.........

[Edited on 12-29-2014 by bajagrouper]

David K - 12-29-2014 at 03:26 PM

Quote: Originally posted by BajaCactus  
The sale of fuel in Mexico will change dramatically in the next couple of years. Pemex has organized a series of events to take place in order to prepare Mexico for the incursion of foreign Petrol companies to be allowed to sell their fuel in Mexico starting 2017.

Amongst those changes, starting January 2015 Pemex will no longer set a fixed final price to the public on fuel, instead, they will set a "Maximum" final price and every gas station owner will be free to set their own price, as long as it is not higher than the Maximum allowed by the Mexican Government.

This is what we are seeing happening on January 1st... the increase of 3% on fuel to the public is been authorized as the "Maximum" allowed price during 2015. Supposedly no more monthly increases.

And so it begins...

Antonio M.


Thank you Antonio... Nice to hear exactly what is going on. 87 octane gallon prices I saw today in San Diego north county range from $2.35 (Costco, Nordahl & 78)-$2.65 (Shell, Palomar Airport & I-5).

rts551 - 12-29-2014 at 04:41 PM

PAN has asked that the 3% price increase for 2015 be eliminated.

http://oilandgasmagazine.com.mx/2014/12/pan-pide-cancelar-al...


[Edited on 12-29-2014 by rts551]

LaTijereta - 12-29-2014 at 04:55 PM

Quote: Originally posted by BajaCactus  
The sale of fuel in Mexico will change dramatically in the next couple of years. Pemex has organized a series of events to take place in order to prepare Mexico for the incursion of foreign Petrol companies to be allowed to sell their fuel in Mexico starting 2017

This is what we are seeing happening on January 1st... the increase of 3% on fuel to the public is been authorized as the "Maximum" allowed price during 2015. Supposedly no more monthly increases.

And so it begins...

Antonio M.


So based on the volume of gas you must be pumping at your station.. What should we be expecting to see for prices after the 1st? In other words, what discount % could there be based on your margins..
Maybe Doug will need to come up with a new topic bar "Current Fuel Prices" so we keep up with fuel prices/ stations up and down the Baja to report the price fluctuations..

David K - 12-29-2014 at 05:10 PM

Let's fuel up in El Rosario always and hope he makes what he needs to keep the ambulance service going. One never knows when it can help someone we know and all those that would otherwise die or suffer.

How many other Pemex stations give back so much, as Baja Cactus does?

durrelllrobert - 12-29-2014 at 05:18 PM

Quote: Originally posted by bajagrouper  
Quote: Originally posted by durrelllrobert  
Quote: Originally posted by Hook  
A rough translation on pricing:

In this sense, the price of gasoline Magna will have cost this year end 13.31 to 13.70 pesos in 2015; in the case of the premium, the price will increase from 14.11 to 14.53 pesos, and so will the diesel, which will go from 13.94 to 14.53 pesos.

It appears that this annual increase will replace the monthly increases. But it is far more than the past annual total of all the monthly increases.

This is getting ridiburrous.


Let's see: Dec 2014 price =13.31p/liter = 50.31 pesos/US gal and on Dec 5th the peso/$ exchange rate was at 14.33 which means the $cost/gal was $3.51.

Now with the Jan. 2015price increased to 13.70p / liter = 51.78 p/US gal but todays peso/$ exchange rate is at 14.71 so the $cost/ gal is now $3.52 (a whole 1 cent increase).



Why would you use a Dec 5th peso price,today is Dec 29th, the peso is 14.71 and in 2 days the price will be up 3%, not 1 cent.
guess we will have to wait 2 days and see what the exchange rate is then and what price per liter is........
Glad my new Subaru is getting 35 MPG here in Mexico.........

[Edited on 12-29-2014 by bajagrouper]

Dec 5th was the last day PEMEX increased the price/ liter

BajaNomad - 12-29-2014 at 05:18 PM

Quote: Originally posted by LaTijereta  


So based on the volume of gas you must be pumping at your station.. What should we be expecting to see for prices after the 1st? In other words, what discount % could there be based on your margins..
Maybe Doug will need to come up with a new topic bar "Current Fuel Prices" so we keep up with fuel prices/ stations up and down the Baja to report the price fluctuations..


Based upon your comments, you may not be that familiar with the fuel business (in general). It's somewhat like the restaurant business, and keeping the quality up when there's higher volume can be a margin-eater.

One of the "to-do's" here are some separate pages that are more accessible with common topics of interest. It's been a "to-do" for quite a while, but one step at a time. The forums here were just moved onto a new server in the past few days. Had been using the last server for eight years (since September, 2006).

:biggrin:

Cost of fuel...

BajaCactus - 12-29-2014 at 06:47 PM

La Tijereta... the problem right now is that the Mexican Government announced there will be a 3% authorized increment in the final sale price to the customer... What they have not said yet is how much is Pemex increasing the sale price of fuel to the Gas Station owners and of course they will not publicize that to the public.

So we may end up with 2.6%+ of that 3% directly for Pemex (which will be in order of how they have done business in the past years) ... and since right now Pemex is the only provider I believe that increase, for the moment, will have to be directly pushed into the final consumer.

In 2017 however (Government is pushing to have it done by 2016 though), things will change dramatically since by then Chevron, Mobil, BP, Texaco and every other major Petrol company will be able to offer their products in Mexico. When this happens the price of fuel will be settle by the "Offer and Demand" politics of business, just as any other product.. then things will become interesting.

Antonio M.

rts551 - 12-29-2014 at 07:22 PM

Quote: Originally posted by David K  
Let's fuel up in El Rosario always and hope he makes what he needs to keep the ambulance service going. One never knows when it can help someone we know and all those that would otherwise die or suffer.

How many other Pemex stations give back so much, as Baja Cactus does?


why not donate through their web page or on site. been posted here many times. much easier Than having Antonio pay. That is what I do.

David K - 12-30-2014 at 09:29 AM

The ambulance came before the web site, so I conclude that gas sales allowed that to happen (also helps the motel maintain high standards and low rates).

Now that there is a web site, all the easier for additional help, it just isn't a consistent source of income, I would guess?

Here is the Desert Hawks Facebook Page: https://www.facebook.com/HalconesdelDesierto

Here is a post by BajaCactus from Jan. 2014 with the details on the project and donations: http://forums.bajanomad.com/viewthread.php?tid=71485

Desert Hawks... Rescue Services in El Rosario... Emergency, Contact and Help Info


Desert Hawks... Non Profit rescue group in El Rosario:

Emergencies: (616) 103-0262
Local Police Station: (616) 165-8858
BajaCactus: (616) 165-8850 / From the US: (1-619) 694-1082
Cruz Roja San Quintin: (616) 165-3637

Contact info:
Antonio Munoz
info*at*deserthawksrescue.com
Desert Hawks Facebook Page

Donations, in any form and/or quantity, will be much appreciated, rest assure they will help us maintain our services active in this area. We can received them through our non profit organizations: in the US "Commitment, Inc", in Mexico "Fundacion Commitment International, A.C.", we can provide tax deductible receipts in both countries.

For cash donations via PayPal: Help Desert Hawks

To send checks in the US:

Commitment, Inc
P.O. Box 178309
San Diego, CA 92177

In both cases, if requested, a letter showing your tax deductible donations will be sent out.

For item donations we have a physical US address, please U2U or e-mail us in order to coordinate with you: info*at*halconesdeldesierto.org

Thank you so much for your help and support... Together we can save lives!!!

Antonio Munoz
BajaCactus

(Spanish accent marks and tildes removed to post here)

Sweetwater - 12-30-2014 at 06:59 PM

Quote: Originally posted by BajaCactus  
La Tijereta... the problem right now is that the Mexican Government announced there will be a 3% authorized increment in the final sale price to the customer... What they have not said yet is how much is Pemex increasing the sale price of fuel to the Gas Station owners and of course they will not publicize that to the public.

So we may end up with 2.6%+ of that 3% directly for Pemex (which will be in order of how they have done business in the past years) ... and since right now Pemex is the only provider I believe that increase, for the moment, will have to be directly pushed into the final consumer.

In 2017 however (Government is pushing to have it done by 2016 though), things will change dramatically since by then Chevron, Mobil, BP, Texaco and every other major Petrol company will be able to offer their products in Mexico. When this happens the price of fuel will be settle by the "Offer and Demand" politics of business, just as any other product.. then things will become interesting.

Antonio M.


Moving into a supply/demand market is a huge change. I can totally understand the dynamics of a government controlled, single source for a high demand commodity and then having that change to a multisource paradigm. It seems that nobody has addressed that supply side of the issue. I've seen multiple stations out of product, notably stations in San Ignacio and Gonzaga. I'm sure there are other examples on other paths and locales. I wonder about the volumes of fuel that are delivered, are you able to count on supply? And in conjunction with your margins, can you pump enough volume to maintain your business. How will the future change in sources have an impact on that?

Tough times for folks who have to pay a defined price for a commodity that doesn't retain it's value and tough to run a business based on that product. Good luck!

rts551 - 12-30-2014 at 07:50 PM

No more monthly increases

http://mexiconewsdaily.com/news/gas-prices-will-rise-3-thurs...

rts551 - 12-30-2014 at 07:56 PM

since I do not consistently buy fuel at Baja cactus, just like a lot of others, but may need the service one day, I prefer to contribute in cash. I encourage others to do the same. There are some. I guess, that will never contribute, but expect the service if necessary.
Quote: Originally posted by David K  
The ambulance came before the web site, so I conclude that gas sales allowed that to happen (also helps the motel maintain high standards and low rates).

Now that there is a web site, all the easier for additional help, it just isn't a consistent source of income, I would guess?

Here is the Desert Hawks Facebook Page: https://www.facebook.com/HalconesdelDesierto

Here is a post by BajaCactus from Jan. 2014 with the details on the project and donations: http://forums.bajanomad.com/viewthread.php?tid=71485

Desert Hawks... Rescue Services in El Rosario... Emergency, Contact and Help Info


Desert Hawks... Non Profit rescue group in El Rosario:

Emergencies: (616) 103-0262
Local Police Station: (616) 165-8858
BajaCactus: (616) 165-8850 / From the US: (1-619) 694-1082
Cruz Roja San Quintin: (616) 165-3637

Contact info:
Antonio Munoz
info*at*deserthawksrescue.com
Desert Hawks Facebook Page

Donations, in any form and/or quantity, will be much appreciated, rest assure they will help us maintain our services active in this area. We can received them through our non profit organizations: in the US "Commitment, Inc", in Mexico "Fundacion Commitment International, A.C.", we can provide tax deductible receipts in both countries.

For cash donations via PayPal: Help Desert Hawks

To send checks in the US:

Commitment, Inc
P.O. Box 178309
San Diego, CA 92177

In both cases, if requested, a letter showing your tax deductible donations will be sent out.

For item donations we have a physical US address, please U2U or e-mail us in order to coordinate with you: info*at*halconesdeldesierto.org

Thank you so much for your help and support... Together we can save lives!!!

Antonio Munoz
BajaCactus

(Spanish accent marks and tildes removed to post here)

DENNIS - 12-31-2014 at 06:19 AM

Quote: Originally posted by rts551  
No more monthly increases

http://mexiconewsdaily.com/news/gas-prices-will-rise-3-thurs...



Never say never.

durrelllrobert - 12-31-2014 at 10:48 AM

Quote: Originally posted by DENNIS  
Quote: Originally posted by rts551  
No more monthly increases

http://mexiconewsdaily.com/news/gas-prices-will-rise-3-thurs...



Never say never.

Link says "On Dec. 19 the average price per gallon of regular gas in the U.S. was $2.47, the equivalent of 10 pesos per liter " and if you do the math the exchange rate used would have to have been 15.32p/$ but it has never been that low (so far).

The local price per liter was 13.31p on Dec 19th and the "official" exchange rate was 14.58p/$ which means the equivalent $price/ US gal was $3.46

Sweetwater - 12-31-2014 at 12:06 PM

I wonder how stable Mexico can remain with the current price of oil and deteriorating exchange rate......it's looking uglier and uglier.....

Brent Crude Fut 56.83 -1.07 -1.85% 13:27
WTI Crude Futr 52.96 -1.16 -2.14% 13:27

USD-MXN 14.7373 0.0008 0.01% 13:49

MitchMan - 12-31-2014 at 01:06 PM

6 months ago in the USA, we were paying around $4.00 USD per gallon in California. We have been living with that price for some time actually. The difference for those of us who spend time in both Baja and the USA is that, in the USA, we put on many more miles than while in Baja, generally. I mean, take La Paz for instance. The town is only about 7 or 8 miles from one end to the other. Just how many miles can you put on your truck on a normal day in La Paz? Not that much.

I submit this just to get some relative orientation on the issue.

What is mind boggling is to try to grasp how the locals in Baja are dealing with the price of gasoline for them. Also, I have seen the price of food jump in Baja, especially for meat and cheese and beans. I would guess that it is making it difficult for the locals to enjoy even traditional Mexican foods.

However, I have noticed that since credit has been extended to Mexicans for certain purchases, especially vehicles, that the vehicles on the road these days look very similar to the vehicles on the road in California. There isn't that much difference in the caliber of cars/trucks/SUVs in the parking lots of, say, Walmart in either California or La Paz.

Maybe I am wrong, but even though the price of gasoline has risen significantly in Baja over the last year, I haven't really noticed whether or not there are fewer cars on the road in La Paz. Doesn't seem like fewer; seems like the same to me. I see just as many Hummers and Escalades in La Paz as I do in Orange County, CA. But then again, I suspect that the explanation is that both the USA and Mexico have among the highest lopsided disparity of income and wealth in the world and the unmitigated presence of expensive vehicles is just another example of that disparity regardless of the price of gasoline or food.

MitchMan - 12-31-2014 at 01:10 PM

Quote: Originally posted by Sweetwater  
I wonder how stable Mexico can remain with the current price of oil and deteriorating exchange rate......it's looking uglier and uglier.....

Brent Crude Fut 56.83 -1.07 -1.85% 13:27
WTI Crude Futr 52.96 -1.16 -2.14% 13:27

USD-MXN 14.7373 0.0008 0.01% 13:49


I submit that the recent weakness of the peso is a reflection of instability itself.

durrelllrobert - 12-31-2014 at 04:40 PM

Quote: Originally posted by lencho  
Quote: Originally posted by durrelllrobert  
...exchange rate used would have to have been 15.32p/$ but it has never been that low (so far).

You must have a short memory.


shoulda said "never been that low this year"

David K - 1-17-2015 at 01:32 PM

Southbound I-15 Nomads: Escondido/San Marcos Costco regular is $2.15/gal Sat. 1-17-2015.

Doug should know!!!

thebajarunner - 1-17-2015 at 02:05 PM

Doug's dad was a prominent figure in the racing gas biz for many years.
If anyone knows gas it will be our leader...

(sorry to 'out' you, amigo)

David K - 1-17-2015 at 03:07 PM

Quote: Originally posted by thebajarunner  
Doug's dad was a prominent figure in the racing gas biz for many years.
If anyone knows gas it will be our leader...

(sorry to 'out' you, amigo)


http://forums.bajanomad.com/viewthread.php?tid=2682

Doug Means' dad, Rod Means


Just returned from the weekend of Las Vegas NASCAR. I spent the weekend with my old racing partner, Jack McCoy, the winningest all time Winston West driver. I asked Jack if he remembered a SoCal guy named Means.... and the stories began to flow.

Seems like Rod was, according to Jack, the first guy on the Coast to start messing with mixing up gas for better race results. Eventually Trick Racing Gas was formed. Jack was one of the major distributors for the "Means created" go-fast gas.

Jack and Rod put on a race car swap meet at the Turlock Fairgrounds, which turned out to be a real success.

Rod owned race cars that were campaigned by a lot of pretty famous names in the stock car memory book.

All in all it was fun to validate some of the stuff that I had heard via Doug.
Jack is clearly one of the most respected racers ever in the West and he validated Rod Means as another first class stock car legend.

Nice going Doug, always nice to know our parents turned out o.k.

Baja Arriba!!





My words come back to haunt me, sigh...

thebajarunner - 1-17-2015 at 03:29 PM

Quote: Originally posted by David K  
Quote: Originally posted by thebajarunner  
Doug's dad was a prominent figure in the racing gas biz for many years.
If anyone knows gas it will be our leader...

(sorry to 'out' you, amigo)


http://forums.bajanomad.com/viewthread.php?tid=2682

Doug Means' dad, Rod Means


Just returned from the weekend of Las Vegas NASCAR. I spent the weekend with my old racing partner, Jack McCoy, the winningest all time Winston West driver. I asked Jack if he remembered a SoCal guy named Means.... and the stories began to flow.

Seems like Rod was, according to Jack, the first guy on the Coast to start messing with mixing up gas for better race results. Eventually Trick Racing Gas was formed. Jack was one of the major distributors for the "Means created" go-fast gas.

Jack and Rod put on a race car swap meet at the Turlock Fairgrounds, which turned out to be a real success.

Rod owned race cars that were campaigned by a lot of pretty famous names in the stock car memory book.

All in all it was fun to validate some of the stuff that I had heard via Doug.
Jack is clearly one of the most respected racers ever in the West and he validated Rod Means as another first class stock car legend.

Nice going Doug, always nice to know our parents turned out o.k.

Baja Arriba!!







Thanks for bringing this back David
I had actually forgotten some of these details which I wrote

David K - 1-17-2015 at 03:35 PM

As we get older, the photos and Nomad posts are great to reflect back on!
I hope the spirit of adventure lives on, despite the paving of roads in Baja... They just help get you to the trail head faster!

Search is your friend, on Baja Nomad!