![]() ![]() has been hit by an unexpected series of accidents and maintenance work at refineries around the country. strategic oil reserves, which President Biden had authorized to tap for up to 1 million barrels of oil per day back in March.īut that trend may be starting to reverse itself, with demand for gas beginning to tick upwards nationwide in recent weeks, according to AAA, while supply remains uncertain. Prices began coming back down to earth in July as demand receded and more supply came into the market in part from the U.S. Russia is the third largest petroleum producer worldwide, and while it exported relatively small amounts of oil to the U.S., the disruption caused by the war scrambled global oil markets and sent prices soaring. The average price of gasoline exceeded $5 a gallon for the first time ever last June-California has seen it surpass $6-as global oil shocks reverberated from Russia’s invasion of Ukraine. And while price increases over the past week have been relatively slow and steady, cutbacks in global oil production around the world could herald a much faster and more dramatic rise. Prices rose by a further three cents on Thursday in the wake of the news, and it’s starting to look like it won’t stop there.ĭemand for gasoline is rising, and global supply is set to remain limited after the OPEC+ decision, meaning higher prices. And that was before OPEC+, a global coalition of oil-producing nations, announced it would begin cutting oil output next month. “While we could hit the $3 mark this spring, we don’t expect that to deter many people who have made the decision to take a road trip.On Wednesday, regular gasoline was going for an average of $3.83 across the country, according to auto club AAA, up five cents from last week and the first time prices have gone up in more than three months. ![]() ![]() “AAA’s previous research shows that most people won’t consider changing their driving behavior until prices reach $3.50 per gallon,” Conde said. Summer blend gasoline is also more expensive to produce, because it requires additional processes to keep it from evaporating at high temperatures. Late last week, OPEC decided to add just 170,000 barrels of crude oil per day, even though market experts expected an increase of 1.5 million barrels. ![]() Ongoing OPEC production cuts have driven crude oil prices higher. “We’ve seen a lot of supply-side issues that have put upward pressure on gas prices, but with fuel demand expected to rise and the upcoming switch to more-expensive summer-blend fuel, things are going to get pretty bumpy.” Today, we’re all the way back up to 15 th,” says AAA Idaho public affairs director Matthew Conde. “At one point in time, Idaho ranked 36 th in the country for most expensive fuel, which was a welcome break from our usual position in the 7 th to 9 th-place range. Idaho gas prices have risen by 24 cents in the past 10 days, while the national average price rose by 10 cents during the same time frame, according to the Idaho AAA. BOISE, Idaho (KIFI) - Idaho gas prices edged above the national average Thursday to statewide average $2.84 per gallon. ![]()
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