Press release from AAA:
Today’s national average price for a gallon of gasoline is $2.25, up 3 cents from last week. One year ago, the price was $2.57. The New York State average is $2.32 – up 2 cents from last week. A year ago, the NYS average was $2.70.
AAA Western and Central New York (AAA WCNY) reports the following averages:
- Batavia -- $2.25 (up 2 cents since last week)
- Buffalo -- $2.27 (up 3 cents since last week)
- Ithaca -- $2.29 (up 3 cents since last week)
- Rochester -- $2.30 (up 3 cents since last week)
- Rome -- $2.37 (up 2 cents since last week)
- Syracuse -- $2.29 (up 3 cents since last week)
- Watertown -- $2.36 (up 3 cents since last week)
Two factors have contributed to driving up prices at the pump: rising crude oil prices and tightening supply. The domestic price of crude (WTI) has been steadily rising since November, reaching levels not seen since February, before stay-at-home guidance was introduced across the country. Prices began to rise last month alongside vaccination news and have only increased with it becoming available.
Reports from the Energy Information Administration show that U.S. gasoline supply levels are healthy, but could tighten in weeks ahead amid refinery consolidations in the northwest and maintenance in the upper Midwest.
Even with holiday demand increasing, overall demand still remains at an extremely low level. AAA believes this factor will impact gas prices, pushing them cheaper in January.
From GasBuddy:
"Average gasoline prices continue to move higher in most areas as retail gas prices continue to follow the rising price of crude oil which remains near the highest level since COVID-19 began in March," said Patrick De Haan, head of petroleum analysis for GasBuddy.
"Seasonal factors have sat in the backseat compared to a modest recovery in demand and a healthy dose of optimism that a COVID-19 vaccine will bring normal demand levels in the coming year. For now, it's not the best news for motorists as I expect gas prices may continue their ascent, but while it won't last forever, it's likely a sign of what's to come in 2021 -- higher prices.
The year ahead will be likely marked by recovery in the pandemic and rising demand, and for motorists interested in what's coming to the pump GasBuddy will be releasing our 2021 Fuel Price Outlook in the days ahead, which will hopefully give motorists some idea of what to plan for in terms of pain at the pump."
