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Gas Prices Spiraling Upward

Prices Above $3 in Most of California

By Joe Benton
ConsumerAffairs.com

March 16, 2007
Gasoline prices are up 32 cents in a month in the U.S., pushing above $3 a gallon throughout most of California and there are no signs the steep climb will end anytime soon.

The average price of gasoline in the country is up almost 5 cents in the last week with regular self serve now selling for $2.55 a gallon, according to AAA, of Heathrow, Florida.

Mid-grade fuel is $2.71 a gallon and premium sells for $2.81, an increase of 4 cents in a week for both grades.

A barrel of crude oil is trading at just under $58, almost $4 less than a week ago.

The most expensive gallon of regular gasoline is on sale in Needles, California for $3.59 and the cheapest gallon goes for $2.13 in Evanston, Wyoming.

Here is a look at some gasoline prices from around the country in the ConsumerAffairs.com Gas Price Round Up.

California: Gas prices statewide and throughout Southern California surged past $3 a gallon and just kept going over the last week, creating an 80-cent difference in gas prices across the U.S., according to the Automobile Club of Southern California's Weekend Gas Watch.

The steep rise in the price has drivers in almost every California community now paying more than $3 a gallon. In Visalia, drivers are paying an average of $3.15 a gallon compared with last month's average price of $2.69 last month. That is a 46-cent increase in just four weeks.

The only city in Southern California with gas prices less than $3 a gallon is Glendora in Los Angeles County which came in at $ 2.98.

The entire Southern California region saw prices go up an average of 45 cents a gallon to $3.11, compared with the national average price hike of 32 cents to $2.54.

"California gas prices are now on average nearly 80 cents higher than the least expensive state, Wyoming, and about 60 to 70 cents higher than most other states," said Auto Club spokeswoman Carol Thorp.

"Prices went up at a faster rate this last week than at any other time in 2007. A number of factors are combining to cause this quick increase, including some supply issues and a lot of speculation in the market by investors that is driving up wholesale gasoline prices," she said.

The average price of self-serve regular gasoline in the Los Angeles-Long Beach area is $3.096, which is 16.2 cents higher than last week, 45 cents higher than last month, and 48 cents higher than last year.

In San Diego, the price is $3.12, which is 17.3 cents above last week's price, 45 cents above last month, and 50 cents above last year.

On the Central Coast, the average price is $3.21, up 15.9 cents from last week, 41 cents above last month, and 48 cents higher than last year.

In the Inland Empire, the average price is $3.11, 17.5 cents above last week, 46 cents higher than last month, and 48 cents higher than last year.

Texas: Retail gasoline prices rose in Texas this week for a sixth week in a row and the statewide average price for regular gasoline is now $2.41 per gallon, according to the weekly AAA Texas gasoline price survey.

The price is up 4 cents following an 11-cent increase the week before.

Auto club spokeswoman Rose Rougeau says rising crude oil prices, unusually high driver demand and the annual refinery switchover to summer fuel grades are to blame for the surge.

The survey found the most expensive regular-grade gas in Texas in Amarillo, where it rose six cents to $2.46 per gallon. The cheapest was in Corpus Christi, where the average price was up a dime to $2.30 per gallon.

Florida: Drivers in the Bradenton-Sarasota-Venice region are paying an average of $2.60 a gallon for regular unleaded, about 33 cents more than they did a month ago, according to the American Automobile Association.

In the Fort Myers-Cape Coral region, prices are even higher: $2.62 for regular unleaded, up from $2.28 a month ago.

Regular gasoline prices have jumped as much as 40 cents a gallon since the beginning of February at South Florida stations.

The average for regular is $2.57 a gallon in Florida and $2.55 nationally, according to AAA.

Officials at AAA said they expect prices will continue to climb as summer approaches but will peak at levels below $3 a gallon in states east of the Rockies.

In the past month, gasoline demand has averaged more than 9.1 million barrels a day, up 3.3 percent from the same period a year ago.

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