Uh-OH – Another Gas increase?
January 4th, 2009 at 1:25 pm by Bill Steffen under Bill's Blog, Weather
From Patrick: “After an unprecedented week of price hikes in the area, I am sad to report that another hike is likely very soon. The stage is set for a price hike Monday to $1.99 (they’d go higher but I expect them to stay under $2 because of negative reaction), but the exact price may be different if the market drops a significant amount tonight (Sunday).Unfortunately, it looks like the pending war between Israel and Hamas (Bill adds…this began with Hamas sending rockets into Israel on 12/19) and OPEC are likely two of the main reasons that wholesale prices and oil prices have been rising. It looks like the market may be starting to turn back as we get closer to Spring. Also, our spot pricing is much higher, in my opinion, due to our PADD levels being so low. We’re sitting at 46.8 million barrels of petroleum in storage. We haven’t seen a low like that since 2007. That can probably be traced to Sunoco’s Toledo, OH refinery undergoing 6 weeks of maintenance that that recently started. Those two factors are likely pushing MIDWEST prices higher than other places. We’ll see how things go, but I would definitely fill up tonight or first thing in the morning as our trend has definitely turned into a upward pressure on prices rather than a downward pressure on prices. Has our enjoyment of gas around $1.50 come to an end? It might have…”
Why? It has been very nice paying $1.56 per gallon or whatever it was! I know all things must change and the gas price was bound to go back up. I’m hoping it stays around $2.00 or less for quite awhile. It gives people a chance to put gas in their vehicles without breaking the bank!
I dont think that we will see gas prices like we did last year. However, I wouldn’t be surprised to see $2.50 this summer, but my guess is that that will be the highest barring any horrid events (i.e. hurricanes, wars, etc. I will be ok with $2.50 though…anything is better than $4.29!
National gas experts/analysts say gas could drop to below $1 before gas prices really start increasing again!
Nothing surprises me as to the price of energy..as for analysts or experts? There are no experts only people making a guess (some times they are right and some time they are wrong) and as for analyst they only like to hear themselves talk and get their name print..in other words we all can be analyst (or so called experts if you will) just make a guess and you might be right or you might be wrong but if you can get paid for it who cares?
SlimJim
I don’t think we have to worry about gas prices much longer, I think the war in revelations is fast approaching.
Gas needs to stay cheap until I get back from Florida. Because of my fear of flying, we are driving and it will be expensive otherwise!
Just got my coupon for $.99 gas from D&W Family Fare quick stops.
We are currently paying $1.36 at the “cheaper” stations down here in North Texas. And if you buy $100 of groceries at a supermarket like Tom Thumb, you can save an additional ten cents a gallon at the pump.
Offshore drilling?!?!? Maybe someday we will get someone with half a brain in the White House and offshore drilling might become a reality. I doubt It though, now that America has taken a turn for the worst since the November election.
Offshore drilling is not a solution to the gas problem. Even if they went ahead with it, it would take a decade of research, exploration, and building of oil rigs before any oil would be gained. Meanwhile, in that time, so much more could be done researching alternative energies and finding a real long-term solution to the problem.
That’s what people said a decade ago David.
David, sorry but I’ve been taught that stuff since 1971….not much has happened since, not so much because of oil being cheap, but because of the other fuel for cars are a lot more expensive and with the alternate fuels polluting more. The electric car would require major increase in electric production…wind can create some (but only in some areas, clean but at a lot higher price and in Michigan we most likely physically can’t produce enough to just energize cars), photo electric could help (but the up front cost and the lack of sun light just won’t make sense in Michigan (3% sun light in Dec.), Hydrogen powered cars…not North of the Mason-Dixon Line (water it creates will freeze),….to get to the electric cars more electric would have to come from either coal or nuclear power which nobody in California like or would allow to be built (look at the law suit against Hollnd BPW coal plant, (Michigan DEQ and Federal EPA watch dogs aren’t good enough for the California based club), hydroelect plants would work…except for the DEQ/EPA and the ever growing amount of enviromental groups that would prohibit it (even though it would be the cleanest overall)..
It’s a nice thing to say a very difficult thing to do or pay for……sometimes and someplaces the alternatives do work…but not everywhere and not for everybody…..quite a few years ago Consumers Gas Company purchased mini pickups that burned natural gas…..the trucks we’re sold about 15 years ago…the engines lasted for ever but the cost of the natural gas went up higher than gas did and was not cost effective…..and there were safty issues with the tanks. It’s too bad that the anwser isn’t easy….just a note the deisel fuel is now “low sulfur”…..too bad engines (specially the older ones) are having some issues with it…a lot of the owners are adding a quart of additive or transmission oil to each 100 gals to save on engine repairs…..which is most likely producing more pollution now than what they did with normal sulfur fuel. Geothermal does appear to work in Michigan, but I have not seen the up front cost and maintaince costs to confirm…….We do need to think and try all alternatives….but jumping the gun with federal and states laws ahead of the common sense and the cost/benefit……most American’s and American Companies can not currently afford any increase.
On another note….why would the Federal Government advertise/leak out information that it was going to buy oil to replace emergency reserves before it bought them???? It gave everybody a chance to raise the price of oil before it was purchased!????????….
Re: Jevon
It’s doubtful that gas will go below $1.00 a gallon now — the conditions are different currently, then they were a month ago or so, when that was predicted. The war involving Israel, and OPEC trying to ensure they can make as much money as possible off of a barrel of gas are definitely factors in raising the gas prices… we might be seeing the last of mid $1 pricing, ever.
Its all corporate greed, these money hungry creeps will bleed you dry, thanks alot.
Buy some oil stock Greg….become the enemy.
ok i was told by 2 ppl that gas is going to be $4 a gal by friday???
Oh geeze, Danielle. You should know that’s simply an outrageous rumor.
ya i know
why because i asked if it was true
I think everyone should quit worrying about it. All of it. Theres nothing we can do to change the situations/outlooks/speculations that the Government and everyone else has got us in to.
We’ve got lives to live, so lets do that! Live them!