TO:	Chi Li, U.S. EPA

	Jean Marie Revelt, U.S. EPA

FROM:	Alex Rogozhin, RTI

CC: 	Mike Gallaher, RTI

	Brooks Depro, RTI

DATE:	November 10, 2006

SUBJECT:	Calculation of Motor Gasoline Prices in Small SI Rule EIA

	In this memorandum, RTI describes how the motor gasoline prices for
Small SI EIA were calculated.  First, RTI collected motor gasoline price
data for 2004 and 2005 by PADD from the 2004 and 2005 Petroleum
Marketing Annuals (Table 31).  We report these values in Table 1 and
Table 2 below.

Table 1.  Motor Gasoline Prices, All Grades, Average Sales to End Users
by Geographic Area: 2005

Geographic Area	2004 Gallons	2004

Share	2004 

(cents/gallon excluding taxes)

PADD I	135,244	40%	181.9

PADD II	104,120	31%	179.2

PADD III	58,863	18%	178.7

PADD IV	13,232	4%	184.8

PADD V 

(excludes California)	23,455	7%	193.8a

United States (excludes California)	334,913	100%	181.4a

aRTI Calculations

Source: U.S. Department of Energy, Energy Information Administration.
2006   XE “U.S. Department of Energy, Energy Information
Administration. 2005b”  ”Petroleum Marketing Annual 2005” Table
31and Table 48.

Table 2.  Motor Gasoline Prices, All Grades, Average Sales to End Users
by Geographic Area: 2004

Geographic Area	2004 Gallons	2004

Share	2004 

(cents/gallon excluding taxes)

PADD I	134,775	41%	140.9

PADD II	106,272	41%	139.4

PADD III	56,479	32%	135.6

PADD IV	12,445	17%	143.6

PADD V 

(excludes California)	21,694	7%	155.2

United States (excludes California)	331,665	100%	140.6a

aRTI Calculations

Source: U.S. Department of Energy, Energy Information Administration.
2006   XE “U.S. Department of Energy, Energy Information
Administration. 2005b”  ”Petroleum Marketing Annual 2005” Table
31and Table 48.

Next, RTI collected the latest motor gasoline price data reported by the
Federal Highway Administration (Year = 2004).  The federal tax was 18.4
cents per gallon.  We calculated average state taxes by PADD and report
these values in Table 2 below.   

Table 2.  Average State Motor Gasoline Taxes by Geographic Area 

Geographic Area	2004 

(cents/gallon)

PADD I	20.7 a

PADD II	20.9 a

PADD III	19.4 a

PADD IV	22.5 a

PADD V 

(excludes California)	19.8a

a RTI calculations

 Source:  Federal Highway Administration.  2005.  Highway Statistics
2004.  http://www.fhwa.dot.gov/policy/ohim/hs04/.  Table MF-121T

We added state and federal taxes to the price data obtained from EIA to
determine the 2004 and 2005 prices of gasoline by PADD.  We report these
values in Table 3.

Table 3.  Average Retail Price of Motor Gasoline by Geographic Area in
2004 & 2005

Geographic Area	2004 

(cents/gallon)	2005 

(cents/gallon)

PADD I	180.0	221.0

PADD II	178.7	218.5

PADD III	173.4	216.5

PADD IV	184.5	225.7

PADD V 

(excludes California)	193.4	232.0

United States (excludes California)	 179.5a	 220.4a

Source: RTI calculations.



Attachment 1.  :  Motor Gasoline Prices, All Grades, Average Sales to
End Users: PADD V (Excludes California): 2005

State	2005 

(cents/gallon)	2005 Consumption

(thousand gallons per day)	2005 

Share of PADD I&III Consumption

Alaska	¢210.9 	            838 	4%

Arizona	¢194.5 	         6,755 	29%

Hawaii	¢211.6 	         1,251 	5%

Nevada	¢195.1 	         2,702 	12%

Oregon	¢190.9 	         4,157 	18%

Washington	¢189.5 	         7,753 	33%

Weighted Average/Totala	¢193.8 	       23,455	100%

aRTI Calculations

Source: U.S. Department of Energy, Energy Information Administration.
2006   XE “U.S. Department of Energy, Energy Information
Administration. 2005b”  ”Petroleum Marketing Annual 2005” Tables
31 and 48.

Attachment 2.  :  Motor Gasoline Prices, All Grades, Average Sales to
End Users: PADD V (Excludes California): 2004

State	2004 

(cents/gallon)	2004 Consumption

(thousand gallons per day)	2004 

Share of PADD I&III Consumption

Alaska	¢170.4 	            827 	4%

Arizona	¢156.2 	         5,993 	28%

Hawaii	¢167.3 	         1,238 	6%

Nevada	¢163.6 	         2,347 	11%

Oregon	¢151.9 	         4,109 	19%

Washington	¢149.8 	         7,181 	33%

Weighted Average/Totala	¢155.2 	       21,694	100%

aRTI Calculations

Source: U.S. Department of Energy, Energy Information Administration.
2006   XE “U.S. Department of Energy, Energy Information
Administration. 2005b”  ”Petroleum Marketing Annual 2005” Tables
31 and 48.

Attachment 2.  Motor Gasoline Taxes by State:  2004

State	Rate (cents per gallon)

Alabama 	18.0

Alaska	8.0

Arizona  	18.0

Arkansas 	21.7

California 	18.0

Colorado 	22.0

Connecticut  	25.0

Delaware	23.0

Dist. Of Col.	20.0

Florida 	13.9

Georgia	7.5

Hawaii 	16.0

Idaho 	25.0

Illinois 	19.0

Indiana 	18.0

Iowa 	20.3

Kansas 	24.0

Kentucky 	16.4

Louisiana 	20.0

Maine 	25.2

Maryland 	23.5

Massachusetts 	21.0

Michigan 	19.0

Minnesota 	20.0

Mississippi 	18.4

Missouri 	17.0

Montana 	27.0

Nebraska 	24.6

Nevada	24.8

New Hampshire 	19.5

New Jersey 	10.5

New Mexico 	18.5

New York 	24.6

North Carolina 	24.6

North Dakota 	21.0

Ohio 	26.0

Oklahoma 	17.0

Oregon 	24.0

Pennsylvania 	25.9

Rhode Island 	30.0

South Carolina	16.0

South Dakota 	22.0

Tennessee 	21.4

Texas 	20.0

Utah 	24.5

Vermont 	20.0

Virginia 	17.5

Washington 	28.0

West Virginia 	25.4

Wisconsin 	28.5

Wyoming 	14.0

Federal Tax	18.4

Source:  Federal Highway Administration.  2005.  Highway Statistics
2004.  http://www.fhwa.dot.gov/policy/ohim/hs04/.  Table MF-121T

 State-level tax rates are reported in Attachment 2.   

Chi Li and Jean Marie Revelt

November 10, 2006

Page   PAGE  6 

