Gas Prices Soar Over $4 Per Gallon
As gas prices rose to record highs of approximately $4.29 in surrounding counties late Monday night and early this morning, it almost appeared as if Kosciusko County residents may escape the 30 cent to 40 cent rise other motorist were grumbling over. However, as morning turned to afternoon, the first signs of an increase began to surface.
Throughout much of the morning hours motorist traveling through Warsaw and surrounding cities were spending roughly between $3.91 and $3.99 per gallon of regular, unleaded gasoline. However, at approximately 1:45 p.m. motorist began to report that two Warsaw gas stations had raised the price of regular unleaded to well over $4. Phillips 66 – located on Center Street – and Marathon – located on U.S. 30 East – both saw prices at $4.29 a gallon. Though the two stations so far the only to raise prices beyond $4 a gallon, many surrounding cities such as Elkhart, South Bend and Plymouth, have reported similar prices jumps.
According to GasBuddy.com, in July 2008 when crude oil reached a record high at $147 a barrel, the national average for gasoline was reported at $4.11 per gallon. GasBuddy indicates that time, and again in May 2011, were the only two times when gas prices rose to the levels they are currently at. Furthermore, according to oil-price.net, today’s cost of crude oil is $93.28 – roughly $54 cheaper than it was in 2008.
According AAA’s daily fuel gauge report, after 10 consecutive overnight declines, the national average has increased for two straight days. AAA reports that motorist in 16 states saw gas prices rise more than 20 cents per gallon in the past month and seven midwestern states saw prices jump 30 cents. According to the website, the recent rise in gas prices in the Midwest have been attributed to refinery maintenance and other production issues that led to tight supplies.
With the national average set at $3.62 per gallon, many are questioning why locally and in area counties consumers are paying nearly 70 cents a gallon more than that. Though many drivers have seen notable weekly declines in prices as refinery issues are resolved and supply concerns come to a close, according to AAA, Indiana is among the three “Great Lakes states” to be excluded from the reprieve. These higher prices are a result of heavy demand for gasoline in the Chicago market as summer drivers hit the road at the same time of lingering refinery outages.
AAA states, “The dramatic price increases in these Midwestern states have frustrated motorists, however, many of these same drivers have also experienced sizable weekly declines as refinery maintenance draws to a close and supply concerns are alleviated. The primary exception has been three Great Lakes states: Ohio, Indiana and Michigan where gas prices have jumped more than a dime in the last seven days. These isolated higher retail prices have been due to heavy demand for wholesale gasoline in the Chicago market, as the summer driving season gets underway, at the same time that lingering refinery outages from planned and unplanned turnarounds mean lean supplies for this group of states.”
To view gas prices in your area visit www.gasbuddy.com.