Gas Prices Surge Past $3 a Gallon as Summer Travel Season Begins, Oil Production Playing Catch Up
Penny Starr 1 Jun 2021
As the coronavirus pandemic ends and the summer travel season begins, consumers face gas prices surging past $3 a gallon for regular unleaded. Experts say high demand from people eager to get on the road again and oil production increases cause the highest gas prices since 2014.
According to AAA, the current average price is $3.045 a gallon for regular unleaded nationwide. That national average is up 14.3 cents per gallon from a week ago and $1.06 higher than a year ago.
Patrick De Haan, head of petroleum analysis for GasBuddy, released a statement on gas prices.
“With the summer driving season now officially begun, gas prices have clung to a $3 per gallon average on continued strong demand as Americans take to the roads amidst a continued economic recovery,” De Haan said. “Through Sunday, U.S. gasoline demand was very strong over the weekend, with Friday and Sunday both setting new Covid records for gasoline consumption for their respective day of week, according to GasBuddy data.”
“While gasoline demand continues to recover, oil production has only slowly started gaining momentum after a very challenging 2020 forced oil companies to take several steps backward as prices and demand plummeted last year,” De Haan said. “While oil production is now moving in the right direction, we’re in catch up mode to searing hot gasoline demand, and the imbalance has pushed prices up notably.”
“For now, there’s little chance of a backslide in gas prices, but a larger chance that this summer could boast near-record gasoline demand as Americans hit the road, but remain mostly stuck to the U.S. due to overseas travel challenges that persist,” De Haan said.
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https://www.breitbart.com/politics/2021/06/01/gas-prices-surge-past-gallon-summer-travel-season-begins-oil-production-playing-catch-up/
