Many drivers are noticing spikes in gas prices for the first time in months. The national average for regular unleaded jumped 12 cents last week to $2.19 a gallon. Oregon’s average shot up 13 cents to $2.26 a gallon.
Gas prices in Hermiston remain below the national and state average at around $2.09 per gallon.
The national average had fallen for a record 123 days before beginning to rise again on Jan. 27. Oregon’s average fell for 69 consecutive days before increasing again on Feb. 3, said AAA Oregon/Idaho Public Affairs Director Marie Dodds.
“Refinery issues and higher crude oil prices mean gas at $2 a gallon is quickly moving into the rearview mirror,” she said. “Still, prices remain near six-year lows with the national and Oregon averages at their cheapest prices since May 2009.”
February typically marks the start of seasonal refinery maintenance in preparation for the busy summer driving season. Refineries usually schedule maintenance during the first several months of the year when demand is relatively low, which can lead to decreased production and supplies. Retail pump prices typically increase 30 to 50 cents during the spring run-up. Over the last five years, gas prices in February have risen by an average of 22 cents per gallon.
A strike by the United Steelworkers union is causing additional market uncertainty this week because approximately 5,200 members have walked off their jobs at refineries and chemical plants responsible for processing more than 10 percent of U.S. petroleum products. While this is the first nationwide strike at U.S. oil refineries since 1980, the work stoppage is not expected to have a significant impact on production in the short-term because refineries continue to operate. While news of the strike has reportedly led to higher wholesale gasoline prices, abundant petroleum supplies may provide both refiners and unions with a chance to reach an agreement before there is a larger impact on consumers.
On the whole, drivers are paying more to refuel their vehicles compared to one week ago. Oregon is one of 48 states and Washington D.C. where week-over-week prices are higher. Oregon is one of 32 states where consumers are paying a dime or more per gallon with the largest increases in Ohio (+19 cents) and California (+19 cents). Hawaii (-6 cents) and Alaska (-4 cents) are the only two states to see price declines.
The majority of U.S. drivers are continuing to enjoy month-over-month savings. Oregon is one of 29 states and Washington, D.C. where consumers are paying less than a month ago to fill up their tanks. On the other end of the spectrum, motorists in 21 states are paying more at the pump. The price has jumped by a dime or more per gallon in 11 states versus one month ago, with the largest increase seen in Michigan (+26 cents).
Drivers universally continue to experience yearly savings at the pump. With the exception of Nevada (-99 cents) and Hawaii (-98 cents), the price is down by $1 or more per gallon in every state and Washington, D.C. Oregon drivers are paying $1.01 a gallon less than a year ago.
Diesel prices are also moving higher. The national average adds a penny to $2.81 a gallon. Oregon’s average jumps a dime to $2.72.
