Government Shutdown Could Cost Drivers At Pump

NEW YORK, Oct. 16, 2013 /PRNewswire/ -- Energy Management Institute (www.EMI.org) announced this week they will provide the energy marketplace with weekly gasoline and diesel demand data free of charge.  Normally this market-moving data would be provided through the Energy Information Administration; however, funding has run out due to the government shutdown.  "The lack of demand information normally found in the EIA inventory data leaves a critical void in the market," said J. Scott Susich, a Senior Partner at EMI. "Gasoline traders rely on fundamental indicators like demand in their directional assessment of the market.  EMI data shows national gasoline demand declined last week and without that bearish piece of information gasoline prices may not react," Susich went on to say.  A notice on the Energy Information Administration's website this week said simply, "EIA is closed due to a lapse in appropriations." 

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The gasoline and diesel fuel trading community establishes overall price direction in the market through their decisions to buy or sell energy commodities.  Each week the government tracks key statistics which are released on Wednesday mornings.  Traders use this information to determine if consumers and the industry are using more or less fuel, causing supplies to move up or down.  Decreasing demand generally results in increasing supply which causes the price of gasoline to move down. Further, Susich added, "Energy markets are complicated and influenced by a variety of global factors.  However there is no mistaking that demand data from the largest gasoline consuming country on the planet is a huge fundamental variable."

EMI's gasoline and diesel demand information is collected electronically on a daily basis and has been independently verified as an accurate predictor of EIA values.  Normally the company sells this information as its frequency and city-by-city detail is preferred in daily decision making.  However, this week EMI's weekly report can be downloaded free of charge from their website at:  http://www.energyinstitution.org/files/wfd_101413.pdf

During the government shutdown, interested parties may sign up for on-going free reports at:  http://www.energyinstitution.org/publication/pub-detail.php?id=52

Information from EMI's Fuel Demand Data Center covers all major petroleum products: oxygenated, reformulated and conventional motor gasoline, along with three grades of diesel by sulfur content.  In addition, fuel ethanol, naphtha, kerosene, jet/kero fuel, residual fuel oil and biodiesel are tracked where available.  EMI's demand data electronically tallies more than 80% of total U.S. gasoline and distillate volume.

About EMI

New York-based EMI (www.emi.org) provides specialized education, data services, and consulting to major oil companies, utilities, Fortune 500 end-users and top transportation fleets throughout the world. As a division of Advanced Energy Commerce, Inc., EMI provides critical business information services and thought leadership in the energy segments of Oil, Gas, Alternative Fuel, and Electric Power.

Contact:
J. Scott Susich
Energy Management Institute
Phone: (732)797-0154
Email:  [email protected]
Web: www.emi.org

SOURCE Energy Management Institute