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Section 9. Energy Prices.

Crude Oil. The average price of domestic crude oil at the wellhead was $30.26 per barrel in November 2000, 42 percent above the level of November 1999. The refiner acquisition cost of imported crude oil in November 2000 was $30.02 per barrel, 30 percent above the November 1999 level. The average cost of domestic crude oil in November 2000 was $32.29, 40 percent more than the November 1999 average.

Motor Gasoline. The national city average retail price of unleaded regular gasoline at all types of stations was $1.49 per gallon in December 2000, 15 percent higher than the price in December 1999. The price of unleaded premium gasoline averaged $1.68 in December 2000, 13 percent higher than the price in December 1999.

Residual Fuel Oil. The average price, excluding taxes, of residual fuel oil sold to end users in November 2000 was 65 cents per gallon, 6 percent lower than the previous month's price and 28 percent above the November 1999 average. The average resale price, excluding taxes, of residual fuel oil in November 2000 was 61 cents, 4 percent below October 2000 but 31 percent above the price 1 year earlier.

Aviation Fuel. The average price, excluding taxes, of aviation gasoline sold to end users in November 2000 was $1.35, the same as the previous month's average price but 16 percent higher than the November 1999 average. The average price, excluding taxes, of kerosene-type jet fuel sold to end users in November 2000 was $1.07 per gallon, 2 percent higher than the previous month's average price and 56 percent higher than the November 1999 average price.

No. 2 Distillate Fuel Oil. The November 2000 national average price, excluding taxes, of heating oil sold to residential customers was $1.40 per gallon, 2 percent higher than the October 2000 price and 39 percent higher than the November 1999 price. The average price of No. 2 fuel oil sold to all end users was $1.06 per gallon in November 2000, 1 percent higher than October 2000 and 49 percent higher than November 1999.

Electricity. The average price of electricity sold by electric utilities to all ultimate consumers in the United States in October 2000 was 6.79 cents per kilowatthour, 1 percent higher than the October 1999 mean price. The price of electricity sold to residential consumers in October 2000 averaged 8.49 cents per kilowatthour, 1 percent higher than the October 1999 price. The price of electricity sold to commercial consumers averaged 7.44 cents per kilowatthour in October 2000, slightly higher than the October 1999 price. The price of electricity sold to other consumers was 6.33 cents per kilowatthour, 2 percent lower than the October 1999 price. The price of electricity sold to industrial users in October 2000 averaged 4.58 cents per kilowatthour, 2 percent higher than the price 1 year earlier.

Beginning with January 1986, new series of national average price estimates were based on a statistically derived sample of both publicly and privately owned electric utilities. Previously, average price estimates were derived from selected privately owned electric utilities and were not national averages.

Natural Gas. The estimated average wellhead price of natural gas for December 2000 was $6.35 per thousand cubic feet, 189 percent higher than the December 1999 price.

The average price of natural gas delivered to electric utility plants was $4.90 per thousand cubic feet in September 2000 (latest date for which data are available), 64 percent higher than the September 1999 price. The average price of natural gas used by residential consumers in October 2000 was $9.25 per thousand cubic feet, 22 percent higher than the October 1999 price. The average price of natural gas used by commercial consumers in October 2000 was $6.74 per thousand cubic feet, 23 percent higher than the October 1999 price. The average price of natural gas used by industrial consumers in October 2000 was $5.23 per thousand cubic feet, 63 percent above the October 1999 price.

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Energy Prices Notes

1. The average domestic first purchase price represents the average price at which all domestic crude oil is purchased. Prior to February 1976, the price represented an estimate of the average of posted prices; beginning with February 1976, the price represents an average of actual first purchase prices. The data series was previously called "Actual Domestic Wellhead Price."

2. F.O.B. literally means "Free on Board." It denotes a transaction whereby the seller makes the product available with an agreement on a given port at a given price; it is the responsibility of the buyer to arrange for the transportation and insurance.

3. The landed cost of imported crude oil from selected countries does not represent the total cost of all imported crude. Prior to April 1975, imported crude costs to U.S. company-owned refineries in the Caribbean were not included in the landed cost, and costs of crude oil from countries that export only small amounts to the United States were also excluded. Beginning in March 1975, however, coverage was expanded to include U.S. company-owned refineries in the Caribbean. Landed costs do not include supplemental fees.

4. Beginning with January 1981, refiner acquisition costs of crude oil are from data collected on Energy Information Administration (EIA) Form EIA-14, "Refiners' Monthly Cost Report." Those costs were previously published from data collected on Economic Regulatory Administration (ERA) Form ERA-49, "Domestic Crude Oil Entitlements Program Refiners Monthly Report." Form ERA-49 was discontinued with the decontrol of crude oil on January 28, 1981. Crude oil purchases and costs are defined for Form EIA-14 in accordance with conventions used for Form ERA-49. The respondents for the two forms are also essentially the same. However, due to possible different interpretations of the filing requirements and a different method for handling prior period adjustments, care must be taken when comparing the data collected on the two forms.

The refiner acquisition cost of crude oil is the average price paid by refiners for crude oil booked into their refineries in accordance with accounting procedures generally accepted and consistently and historically applied by the refiners concerned. Domestic crude oil is that oil produced in the United States or from the outer continental shelf as defined in 43 USC Section 1331. Imported crude oil is either that oil reported on Form ERA-51, "Transfer Pricing Report," or any crude oil that is not domestic oil. The composite cost is the weighted average of domestic and imported crude oil costs.

Crude oil costs and volumes reported on Form ERA-49 excluded unfinished oils but included the Strategic Petroleum Reserve (SPR). Crude oil costs and volumes reported on Federal Energy Administration (FEA) Form FEA-P 110-M-1, "Refiners' Monthly Cost Allocation Report," included unfinished oils but excluded SPR. Imported averages derived from Form ERA-49 exclude oil purchased for SPR, whereas the composite averages derived from Form ERA-49 include SPR. None of the prices derived from Form EIA-14 include either unfinished oils or SPR.

5. Several different series of motor gasoline prices are published in this section. U.S. city average retail prices of motor gasoline are calculated monthly by the Bureau of Labor Statistics during the development of the Consumer Price Index (CPI). These prices include all Federal, State, and local taxes paid at the time of sale. From 1974-1977, prices were collected in 56 urban areas. From 1978 forward, prices were collected from a new sample of service stations in 85 urban areas selected to represent all urban consumers--about 80 percent of the total U.S. population. The service stations are selected initially, and on a replacement basis, in such a way that they represent the purchasing habits of the CPI population. Service stations in the current sample include those providing all types of service (i.e., full-, mini-, and self-serve).

Refiner prices of finished motor gasoline for resale and to end users are determined by the EIA in a monthly survey of refiners and gas plant operators (Form EIA-782A). The prices do not include any Federal, State, or local taxes paid at the time of sale. Estimates of prices prior to January 1983 are based on Form FEA-P302-M-1/EIA-460, "Petroleum "Industry Monthly Report for Product Prices," and also exclude all Federal, State, or local taxes paid at the time of sale. Sales for resale are those made to purchasers who are other-than-ultimate consumers. Sales to end users are sales made directly to the consumer of the product, including bulk consumers (such as agriculture, industry, and utilities) and residential and commercial consumers.

6. Starting in January 1983, Form EIA-782, "Monthly Petroleum Product Sales Report," replaced 10 previous surveys. Every attempt was made to continue the most important price series. However, prices published through December 1982 and those published since January 1983 do not necessarily form continuous data series due to changes in survey forms, definitions, instructions, populations, samples, processing systems, and statistical procedures. To provide historical data, continuous series were generated for annual data 1978-1982 and for monthly data 1981 and 1982 by estimating the prices that would have been published had Form EIA-782 survey and system been in operation at that time. This form of estimation was performed after detailed adjustment was made for product and sales type matching and for discontinuity due to other factors. An important difference between the previous and present prices is the distinction between wholesale and resale and between retail and end user. The resale category continues to include sales among resellers. However, sales to bulk consumers, such as utility, industrial, and commercial accounts previously included in the wholesale category, are now counted as made to end users. The end-user category continues to include retail sales through company-owned and operated outlets but also includes sales to the bulk consumers such as agriculture, industry, and electric utilities. Additional information may be found in "Estimated Historic Time Series for the EIA-782," a feature article reprinted from the December 1983 [3] Petroleum Marketing Monthly, published by EIA.

7. Preliminary monthly data are based on submissions from over 250 publicly and privately owned electric utilities reporting on Form EIA-826, "Monthly Electric Utility Sales and Revenue Report With State Distributions." These utilities are statistically chosen as a cutoff sample from more than 3,000 electric utilities that report annually on Form EIA-861, "Annual Electric Utility Report." Preliminary annual values are the sum of the monthly revenues divided by the sum of the monthly sales. When final Form EIA-861 annual data become available each year, their ratios to the preliminary Form EIA-826 values are used to derive adjusted final monthly values. Prior to January 1986, only privately owned electric utilities were included in the monthly survey and the sample was chosen using stratification techniques through December 1992.

8. Data for 1973-1982 cover all electric generating plants at which the generator nameplate capacity of all steam-electric units combined totaled 25 megawatts or greater. From 1974-1982, peaking units were included in the data and counted towards the 25-megawatt-or-greater total. Data for 1983-1990 cover all electric generating plants at which the generator nameplate capacity of all steam-electric units combined totaled 50 megawatts or greater. Data for 1991 forward cover all electric generating plants at which the generator nameplate capacity of all steam-electric units and combined-cycle units together totaled 50 megawatts or greater.

9. Natural gas prices are intended to include all taxes. Instructions on the data collection forms specifically direct that all Federal, State, and local taxes, surcharges, and/or adjustments billed to consumers are to be included. However, sales and other taxes itemized on more than 3,000 consumers' bills are sometimes excluded by the reporting utilities. Delivered-to-consumers prices for 1987 forward represent natural gas delivered and sold to residential, commercial, industrial, and electric utility consumers. They do not include the price of natural gas delivered to industrial and commercial consumers on behalf of third parties. Volumes of natural gas delivered on behalf of third parties are included in the consumption data shown in Table 4.4. Additional information is available in the EIA Natural Gas Monthly, Appendix C.

Sources for Table 9.1

Domestic First Purchase Price

1973-1976--U.S. Department of the Interior (DOI), Bureau of Mines (BOM), Minerals Yearbook, "Crude Petroleum and Petroleum Products" chapter.

1977--Federal Energy Administration (FEA), based on Form FEA-P124, "Domestic Crude Oil Purchaser's Monthly Report."

1978 forward--Energy Information Administration (EIA), Petroleum Marketing Monthly, February 2001, Table 1.

F.O.B. and Landed Cost of Imports

December 1973-September 1977--Federal Energy Administration, Form FEA-F70 l-M-0, "Transfer Pricing Report."

October-December 1977--EIA, Form FEA-F701-M-0, "Transfer Pricing Report."

1978 forward--EIA, Petroleum Marketing Monthly, February 2001, Table 1.

Refiner Acquisition Cost

1973--EIA estimates. The domestic price was derived by adding estimated transportation costs to the reported domestic first purchase price. The imported price was derived by adding an estimated ocean transport cost to the average "Free Alongside Ship" value published by the U.S. Bureau of the Census.

1974-1976--DOI, BOM, Minerals Yearbook, "Crude Petroleum and Petroleum Products" chapter.

1977--January-September, FEA, based on Form FEA-P110-M-1, "Refiners' Monthly Cost Allocation Report." October-December, EIA, based on Form FEA-P110-M-1, "Refiners' Monthly Cost Allocation Report."

1978 forward--EIA, Petroleum Marketing Monthly, February 2001, Table 1.

Sources for Table 9.2

October 1973-September 1977--Federal Energy Administration, Form FEA-F701-M-0, "Transfer Pricing Report."

October 1977-December 1977--Energy Information Administration (EIA), Form FEA-F701-M-0, "Transfer Pricing Report."

1978 forward--EIA, Petroleum Marketing Monthly, February 2001, Table 24.

Sources for Table 9.9

1973-September 1977--Federal Power Commission (FPC), Form FPC-5, "Monthly Statement of Electric Operating Revenues and Income."

October 1977-February 1980--Federal Energy Regulatory Commission (FERC), Form FPC-5, "Monthly Statement of Electric Operating Revenues and Income." March 1980-1982--FERC, Form FERC-5, "Electric Utility Company Monthly Statement."

1983--Energy Information Administration (EIA), Form EIA-826, "Electric Utility Company Monthly Statement."

1984-1989--EIA, Form EIA-861, "Annual Electric Utility Report."

1990 forward--EIA, Electric Power Monthly, February 2001, Table 52.

Sources for Table 9.10

1973-June 1977--Federal Power Commission, Form FPC-423, "Monthly Report on Cost and Quality of Fuels for Electric Utility Plants."

June 1977-December 1977--Federal Energy Regulatory Commission, Form FERC-423, "Monthly Report on Cost and Quality of Fuels for Electric Utility Plants."

1978 and 1979--Energy Information Administration (EIA), Form FERC-423, "Monthly Report on Cost and Quality of Fuels for Electric Utility Plants."

1980-1989--EIA, Electric Power Monthly, April issues.

1990 forward--EIA, Electric Power Monthly, February 2001, Table 26.

Sources for Table 9.11

Prices, 1973-1993

Wellhead--Energy Information Administration (EIA), Natural Gas Annual 1999, Table 92.

City Gate, 1984-1987--EIA, Natural Gas Monthly, March 1990, Table 4.

City Gate, 1988-1992-- EIA, Natural Gas Monthly, March 1995, Table 4.

City Gate, 1993--EIA, Natural Gas Monthly, January 2001, Table 4.

Delivered to Consumers, 1973-1993--EIA, Natural Gas Annual 1999, Table 95.

Prices, 1994 forward

EIA, Natural Gas Monthly, January 2001, Table 4.

Share of Total Volume Delivered, Annual

Calculated from EIA, Natural Gas Annual, Volume 1, report series, Table 1, "Summary Statistics for Natural Gas in the United States," as total amount of natural gas delivered to the sector's consumers minus the amount delivered for the account of others (to derive the amount on system) divided by the total amount delivered to the sector.

Share of Total Volume Delivered, Monthly

EIA, table titled, "Percentage of Total Deliveries Represented by Onsystem Sales, by State," in the Natural Gas Monthly issues as follows:
April 1988-March 1989 - Table C-1
April 1989-December 1991 - Table 33
January 1992-February 1993 - Table 32
March 1993-October 1995 - Table 28
November 1995-December 1997 - Table 24
January 1998-Present - Table 25
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Publication:Monthly Energy Review
Article Type:Statistical Data Included
Geographic Code:1USA
Date:Feb 1, 2001
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