Wednesday, April 24, 2024

AAA: Gas Prices Continue to Rise with No End in Sight

AAA states that gas prices will continue to rise without any end in sight (File Photo/Dawn McDonald)

NATIONWIDE — Drivers won’t get relief at the pump anytime soon according to the American Automobile Association (AAA).

The last time the national average price for a gallon of gas was as expensive as it is today was in 2014, according to a AAA Tidewater press release. The national average reached $3.44 per gallon on Monday, Feb. 7, which is $0.08 higher than last week and $1.98 higher than this point in 2021.

In Virginia, the average price for a gallon of gas is lower than the national average, at $3.27. In Hampton Roads the price is slightly lower at $3.26.

AAA reported two main reasons for the increase in gas prices. Winter weather in the United States drove up demand for gas as residents heated their homes. Also, the threat of a Russian invasion of Ukraine and the potential for the Kremlin to withhold crude oil in response to western economic sanctions have also put an “upward pressure” on gas prices, according to the press release.

“This shows how events on the other side of the globe can have a noticeable impact right here in the U.S,” said Holly Dalby, AAA Tidewater director of public affairs. “And unfortunately for drivers, they are reminded of this by higher prices at the pump.”   

Total domestic gasoline stocks grew by 2.1 million oil-carrying barrels (bbl) according to the Energy Information Administration (EIA), while demand dropped from 8.51 million barrels per day to 8.23 million b/d. An increase in gasoline stock and a decrease in demand usually results in lower gas prices according to AAA. However, for the moment prices continue to climb.

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