Why has the cost of petrol, risen to the same price as last year, when Oil per barrel has more than halved?

Many factors go into the price of gas/petrol. Oil cannot be burned in a car as it is when it comes out of the ground, it must first be refined. Because there are a limited number of refineries consumers are dependent on the current conditions at those refineries. Raw crude oil is used to make everything from natural gas to heavy machine oil and asphalt and making one thing from the oil prevents making something else. If a refinery chooses to make, for example, kerosene instead of gasoline the supply of gas will be reduced and the price will go up.





While the price for a barrel of oil has a significant impact on the price at the pump, it isn't the only factor and other economic factors must be considered when mentally comparing the prices of gas and oil.