Premium Fuel $1.00 (or more) Higher

[john_pifer]

In the 80s and 90s, maybe even into the 2000s, premium fuel was 20 cents more than regular in my area, and mid-grade was 10 cents more.

Now, in my area (TN), it’s at least a full dollar more. Sometimes even $1.10.

I can’t remember exactly when this became a thing. Seems like it wasn’t that much 5 years ago when I had my WRX (always used premium) and my wife had her Civic turbo (she always used premium).

My cars can all use 87, but the Elantra N makes 20-25 more horsepower on premium. But it’s not worth it while using it to commute 92 miles per day. I could stomach $5-6 per tank. But an extra dollar per gallon seems nuts.

If I know I’m going out for a fun drive, I’ll spend the extra $12-13 per tank.

Seriously though, I know there are some oil industry folks here.

Is there any justifiable reason for this?

Is $1.00 equivalent to $.20 (what it was around 1995 when I got my first car), in 2025 money?

 

[jhellwig]

The short answer is because they can. I think about the time everyone started doing the sub grade regular gas the price spread more.

 

[dishdude]

It's $0.50 more at Costco, but driving around I have noticed some stations have it marked up substantially higher.

 

[Blagoje]

I don't understand who actually needs to use mid-grade gas (ie 89 octane) AND why anyone would be willing to pay say 50 cents more per gallon?

 

[JohnnyJohnson]

Back in the Day real premium was 95 or better octane. 91 octane was sub octane regular that was sold the cut rate stations like Gull.

 

[Klutch9]

Premium was around 60 cents more than 87 here in SE Michigan at the start of the pandemic. For the past few years, it’s been $1.00 to $1.40 more. Mom and pop stations usually have the highest spread. I recently went to a Buc-ee’s in Kentucky, and the spread between regular and premium was only like 27 cents it’s a bummer because both our vehicles run a lot different on 93, but I’m not paying that much more for it.

 

[Lubener]

I was once told that regular (87) is sold at or slightly above cost in hopes of luring customers which hopefully go inside for food and beverages which are more profitable.

 

[Patman]

Up here for the longest time Costco only charged ten cents per liter more, and the other stations were 15-20 cents more. But in the past 3-4 years it’s now 30 cents more at Costco and 40-45 cents more at the others

 

[Kira]

An old geezer, speaking generally, told me engines benefit from premium fuel (a cooler burn).

Engines today push the envelope and have knock sensors (and other programming?) to save us.
I feel a little zipedee doo da in the tank can help a regular drinker run brighter.
A guru on the Ranger forum approved my idea to add a little high test before some Summer driving.
It's likely engine dependent.

 

[Rand]

The other day regular was 2.32 and premium was 3.62.

Yes over 50% more

 

[john_pifer]

I don't understand who actually needs to use mid-grade gas (ie 89 octane) AND why anyone would be willing to pay say 50 cents more per gallon?

I’ve had the exact same thought.

 

[Zee09]

Over $1 more here
I sold my VW this year and no more Premium gas rides for me...during covid it hurt because I'm cheap

 

[OneLonelyBurrito]

From my understanding, some of the components used to make premium fuel are in short supply. Apparently the mix between premium fuel and regular has shifted in more recent times compared to the 80s and 90s. So, between the increased demand for premium and lack of refinery investment to make premium, supply and demand dictates prices rise.

 

[Chris142]

It's only $.30 a gallon more here

 

[shortyb]

It's only $.30 a gallon more here

Thats 91, right? Here, our local 4 competing stations, including the QT, all have a .50$ spread between regular 87 and premium 93.

 

[4wd]

$2.40 for regular - $3.06 for premium
Only our Lexus calls for premium - it gets mid grade and runs good

 

[john_pifer]

It's only $.30 a gallon more here

How much is regular going for there?

 

[john_pifer]

It's $0.50 more at Costco, but driving around I have noticed some stations have it marked up substantially higher.

Interesting. We are members but I never go there. $6 more per tank is more palatable than $12 more per tank.

 

[JeffKeryk]

Generally 30 to 40 cents higher. But when you are paying over $4, it's already too much. So there's that.

 

[nickaluch]

I don't understand who actually needs to use mid-grade gas (ie 89 octane) AND why anyone would be willing to pay say 50 cents more per gallon?

I actually use mid grade keeps my check engine light off 87 it goes on. It's my work beater super short commute price of gas irrelevant