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Gasoline is also imported to the U.S. eastern seaboard from Europe and Canada, which accounts for an additional 600,000 bpd of fuel. The five refineries that still operate in the region can produce a total of about 700,000 bpd of gasoline. Other pipelines and domestic shipments account for the rest of the region's supply. When Colonial is disrupted, major ports with significant gasoline storage, like New York Harbor may initially be insulated from jolts in prices that affect other areas. Refined products in storage in New York Harbor can be released by suppliers, as additional gasoline is sought from Europe and other areas. The reliance on Colonial is also related to cost. Transporting fuel from Gulf Coast refineries by ship can be prohibitively expensive, because domestic shipments must be made on tankers that are built in the U.S. and meet other costly requirements under the Jones Act. Refining oil in Europe and transporting the products can also cost more because generally European refineries are less efficient than Gulf Coast plants. "Colonial is a large part of the infrastructure mix - it is the most cost-effective way to get gasoline from a major refining center to a major consumption center," said Skip York, a consultant with Wood MacKenzie in Houston.useful reference

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