August 11, 2008

Mexican city to fine Americans buying diesel

Americans thinking of sneaking across the border to buy some of that cheaper, government-subsidized diesel in Mexico may want to re-evaluate the plan.

The city of Ciudad Acuna, which is located just across the border from Del Rio, TX, is now fining U.S. drivers who are crossing the border to buy more than their share of cheap diesel.

The Associated Press reports that the city government has begun fining American drivers who fill up extra drums, tanks or barrels to bring them back to the states.

The city will still allow drivers to fill up the tanks in their own vehicles, but wants to crack down on what it says is a violation of customs and export rules and, in some cases, a safety violation.

The fines handed out so far have been equivalent to 70 percent of the value of the diesel confiscated.

But there’s more. According to U.S. News and World Report, the city government has gone beyond just fining in some cases. In one case, two Texas residents had their pickup truck seized as they were on their way home after filling up.

High fuel prices in the U.S. have led to an increase in traffic across the border and have caused temporary fuel shortages in many border towns, including Ciudad Acuna and Tijuana.

Mexico sells diesel fuel domestically at subsidized prices of about $2.25 per gallon.

http://www.landlinemag.com/todays_news/Daily/2008/Aug08/081108/081108-09.htm


Viva La..Si Si Senoir centvos filup.

In Mexico, the government owns the oil industry, from well to pump, and there is one retail brand, Pemex. The Mexican Constitution says "no real estate may be owned by John D. Rockefeller or any of his decendants". Which is a rule West Virginia should adopt.

The government sets the nationwide price based on political concerns, rather than the Market. This keeps the price lower than in the USA, and, relative to Diesel, Mexico allows the "European" Diesel that was found here until a few years ago, which is much cheeper to make. The democrat tree huggers passed a whole set of EPA rules that cost plenty, and serve no real environmental purpose, which is why the USA has less than 1% of its cars running on Diesel, while the Euros have 25%.

Pemex stations are either run by the government and thus have the friendlyness and efficiency of the DMV or by a "concessionaire", meaning "local insider political crook". You really have to watch them.

Going in the Mexico for cheep fuel, smokes, and prescription drugs (you only need a prescription for pain killers, other drugs can just be bought OTC), as well as things like Freon, power flush toilets (another stupid EPA rule), fireworks and so on.

Its perfectly legal under NAFTA. This sounds like some local cops trying to cash in Not much different from the lowlifes on Charleston's interstates.