Gas prices rise in Butler County before demand does
As thoughts turn toward summer vacations and temperatures start to rise, so have gasoline prices at local gas stations.
According to AAA, the average price for a gallon of regular gasoline in Butler County was $3.85 as of Wednesday, April 19, which is eight cents more expensive than the state average.
On a larger scale, the national average clocked in at $3.68.
The main culprit is the high cost of crude oil, gasoline’s main ingredient, which is hovering in the low $80s per barrel said Jim Garrity, AAA spokesperson.
“Oil has been moving,” Garrity said. “It spent last month around the $70 range at times. Over the last six months it has been up and down. It’s certainly down from what it was this time last year.”
The price of crude oil can swing up and down for many reasons, Garrity said, some of which is because of what’s going on outside the United States.
“A lot of that is tied to what’s happening on a broader scale,” Garrity said. “It’s what’s happening globally, what’s happening with the U.S. dollar and the Russia situation.”
Demand however has been low over the past few months according to AAA, which would typically push pump prices down.
With summer time holidays and activities right around the corner, Garrity does expect more action at the pumps.
“Around the holidays you tend to see demand go up,” Garrity said. “Compared to where we were this time last year, crude oil was around $40 more than what it currently is. Last year we had record high gas prices and more Americans were still driving. They were trying to slow down during the week so they could save up for vacations.”
Garrity said AAA’s travel advisers have been incredibly busy so far this year, and they have noticed trends from last summer that are carrying over, such as people cutting back on their spending habits in order to save up for vacations and leisure travel.
“Some people maybe haven’t been out in a year, and they are ready to take their travel plans off of hold,” Garrity said. “We are seeing positive energy in the travel space.”
Another factor that could be driving the price of gasoline up is the switch from winter to summer blend gasoline.
“The gasolines are formulated differently,” Garrity said. “One is designed for hot temperatures, the other for cooler temperatures. Summer blend is designed to not evaporate as easily so you can maintain more of the gasoline. The components that go into summer blend is what makes it more expensive.”
