Gas prices?

What are they in Ajijic now?  I'm shocked and PLEASED.. Sam's Club here in MS is down to $1.83.  Didn't think it would ever go that low again.  Now if our food prices would do the same..... and where the hell are my gardener and maid?  Oh yeah... SOB.    I'd gladly trade the cheap gas for an affordable maid and gardener... maybe someday...  I hope.

The same since the 1st of Jan.
About 13.50 per liter for magna and premium about one peso more.
We don't have to shop or think about it.

slainte39 wrote:The same since the 1st of Jan.
About 13.50 per liter for magna and premium about one peso more.
We don't have to shop or think about it.

lemme see.... 13.50 / 17 = .79us per litre
.79 x 3.785 = 2.99us per gal

sound bout right??

For years we had lower petrol costs here.  Now it's higher but we've got a lower peso.  Do any of you drive enough to care about the cost?  I don't.

The problem I have with Pemex stations is that so many of them short you on the litros.
"No son litros de a litro".

CanuckBob wrote:

David wrote:For years we had lower petrol costs here.  Now it's higher but we've got a lower peso.  Do any of you drive enough to care about the cost?  I don't.

The peso isn't lower against the CDN $$ or many other currencies. While I don't really care about the price I was just curious if Pemex has ever lowered the price in relation to oil prices. At some point having fuel costs substantially higher than NOB will begin to affect local economies. No?

With Canadian Exchange Rate it works out to be about $1.05 per litre.... about the same as current Canadian Prices.

Pemex doesn't and can't change prices, they're to domain of the Secy of Energy.  The monthly increases put in place by former Pres. Calderone (he wanted the price to reach the "world level") were suspended on 1st of January this year.  In the 10+ years I've lived here I have never seen a decrease in the price of petrol. Regardless of whether it's Mexico, Canada, or the USA, the price of petrol is made up primarily of taxes.

CanuckBob wrote:Slainte, has Pemex ever lowered the price that you are aware of?

Well, let's see.......back in the 80's when we lopped off 3 zeros from our currency there was a drastic reduction in the numbers but not in the value.     Seems like I remember a $1,000.00 pesos a liter.

In a serious answer, I can't remember an actual reduction in price, as far back as the mid 70's, but there could have been.  As playaboy put it so well, sometimes it's a subsidy and sometimes it's a tax in relation to pricing in the US and other countries.

Here it's the price the Sec'y of Energy want to put on it. They don't mess with anything so complicated as cost + tax + IVA. It's just the price.

Starting Jan 1 foreign oil companies are allowed to own and operate gas stations independent of PEMEX. And in 2017 the price controls come off. Foreign companies are lining up already and making alliances with some of the current PEMEX franchise owners who will be free to choose whether they remain with PEMEX or align with a foreign (or other domestic group) gasoline dealer. Many current franchises belong to associations or unions and are negotiating through these for better deals.

Yikes! But no actual competition until 2017. How will they differentiate themselves?

Clete wrote:Starting Jan 1 foreign oil companies are allowed to own and operate gas stations independent of PEMEX. And in 2017 the price controls come off. Foreign companies are lining up already and making alliances with some of the current PEMEX franchise owners who will be free to choose whether they remain with PEMEX or align with a foreign (or other domestic group) gasoline dealer. Many current franchises belong to associations or unions and are negotiating through these for better deals.

Where did you read that?

David wrote:Yikes!  But no actual competition until 2017.  How will they differentiate themselves?

With a big sign.

viajero wrote:

Clete wrote:Starting Jan 1 foreign oil companies are allowed to own and operate gas stations independent of PEMEX. And in 2017 the price controls come off. Foreign companies are lining up already and making alliances with some of the current PEMEX franchise owners who will be free to choose whether they remain with PEMEX or align with a foreign (or other domestic group) gasoline dealer. Many current franchises belong to associations or unions and are negotiating through these for better deals.

Where did you read that?

You can find the info easily enough in the Mexican press. It's actually old news. I know owners involved in negotiations with PEMEX and foreign companies. PEMEX wants to remain a competitive player on both the retail and wholesale level but is obviously at a disadvantage due to its deservedly poor reputation. The current franchisees are using this fact in negotiating concessions from PEMEX. Foreign companies are offering all kinds of financial incentives plus a more reputable image.

Clete wrote:

viajero wrote:[quote="Clete"
Where did you read that?

You can find the info easily enough in the Mexican press. It's actually old news. I know owners involved in negotiations with PEMEX and foreign companies. PEMEX wants to remain a competitive player on both the retail and wholesale level but is obviously at a disadvantage due to its deservedly poor reputation. The current franchisees are using this fact in negotiating concessions from PEMEX. Foreign companies are offering all kinds of financial incentives plus a more reputable image.

Give me a little help,Clete,and cite a source for me,I haven't seen anything in the Mexican press about this,it would be an interesting development.

Just copy and paste the following in Google and read from many sources.

gasolineras extranjeras mexico 2016 2017

CanuckBob wrote:I understand the "auction" that Pemex held a couple of months ago for private companies and foreign investors to buy their way in yielded very poor results. I don't believe many foreign companies were interested at that time and with the current price of oil and oversupply I don't think many will be interested in the next auction either.

Two different ball games. Those auctions were for participation in exploration and extraction.