Florida

Florida gas prices are rising again – The Famuan

Photo credit: Lebaron Fields

Gas prices throughout Florida have fluctuated constantly for many reasons, both internationally and domestically. With the economy uncertain and many other living costs rising, consumers are feeling the added impact of rising gas prices.

According to AAA gas prices, which survey more than 130,000 gas stations, Florida’s gas price of $3,583 is a little more than eight cents higher than the national average, up about 15 cents from the previous week.

Internationally, the soaring price can be attributed to China reopening its economy after easing its Covid-19 precautions. With most Chinese citizens on lockdown, oil consumption was hit and demand fell.

Quoting the AAA newsroom, Mark Jenkins, Public Relations Manager of AAA – The Auto Club Group, stated: “Florida drivers might be surprised to hear that China has a direct impact on what they pay at the pump.”

“China is the world’s largest oil importer, and because oil is a globally traded commodity, global supply and demand fluctuations have a direct impact [on] local prices — just like they always have,” Jenkins said.

Domestically, it is likely that gas prices will continue to rise as we move further into the winter months. According to GasBuddy, which acquires data from more than 140,000 stations, increased demand and reduced supply will drive up oil and gas prices.

“Concern is mounting that without additional oil, supply will tighten in the coming weeks, particularly as the nation moves away from weaker demand in the height of winter. The future doesn’t look good for motorists as prices are likely to keep rising,” said Patrick De Haan, head of petroleum analysis at GasBuddy.

The Strategic Petroleum Reserve (SPR) is the world’s largest emergency oil supply. According to the U.S. Department of Energy (energy.gov), “SPR oil will be sold competitively if the President determines that a sale is required under terms set forth in the Energy Policy and Conservation Act (EPCA).” The Biden administration took advantage of the SPR to relieve consumers of gas prices.

Fighting broke out in Congress over the use of the SPR. Republicans in Congress have proposed HR 21, a bill that would limit the federal government’s power to use the reserve to increase domestic drilling and oil production.

In a press conference, Energy Secretary Jennifer Granholm said: “But HR 21 would impose unnecessary, unhelpful restrictions on when the SPR can be used to support supply. It would require these arbitrary reports on state power generation before it waives new restrictions. It would bring no tangible benefits to the American people. Instead, it would affect our ability to respond to spilled oil – during an international emergency,

Granholm continues: “Today, the SPR remains the largest strategic petroleum reserve in the world. And with our plans to refill it as low as possible — you know, at lower prices than what we were selling at the SPR, not only did Americans save money, but these releases will eventually pay off for taxpayers. “

Unfortunately, it doesn’t look like consumers will get immediate relief on gas prices. Consumer-focused companies like AAA, GasBuddy, and NerdWallet offer resources for saving at the pump.

Photo credit: gaspricess.aaa.com

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