Current Gasoline Prices in Texas Trend Upward

Current gasoline prices posted another one cent overnight increase for a total price hike of 18 cents just in the past week.

In Houston, regular unleaded gasoline’s average price has sharply risen to $3.37 per gallon. According to experts, the driving season in the spring and summer may bring a price hike of 19 to 20 percent to the gasoline price today.

The latest study of AAA shows that four percent of Americans’ incomes are spent on purchasing gasoline.

In the past year, a typical U.S. household spent slightly above $2,900 for gasoline alone, according to the energy department. That rate is the highest in four years.

The latest surge at the pump left many wondering why gas prices are up once again.

According to experts, the red-hot world economy and conflict in the Middle East, together with maintenance at refineries and panic regarding declining supplies make for a perfect storm pushing the prices of gasoline higher.

Houston is at the center of a primary refining region that has closed down due to maintenance, according to Dr. Richard Murray, a political consultant. He added that the price of gas in the city usually moves in conjuction with the country; however, Houston has unique factors that can lead to more price fluctuations compared to other cities.

Currently, firms pumping gas into service vans and individuals in Texas filling their trucks need to save somewhere else since they do not have any choice but to continue filling up their tanks.

Spikes are not usually seen in the winter. However, gasoline prices are highly linked to the per barrel crude prices which have been increasing since the middle of December.

The Northeast’s extreme cold weather may have caused refineries to produce more heating oil and less gasoline, according to experts and analysts. That may be contributing to the current price increase since that implies low inventory, which also pushes gas prices higher.

The current gasoline price average in Texas is $3.36 per gallon, while the nationwide average is $3.53 per gallon.

By: Chris Termeer

Chris Termeer

Chris Termeer is an oil and gas consultant, industry commentator and analyst. His book, Fundamentals of Investing in Oil and Gas provides a comprehensive overview of all aspects of the oil and gas industry, including exploration, drilling, production, storage, transportation and refining, to name but a few.

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