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Gas prices spiking: Motorists could see increases for weeks or months

OPEC surprised oil markets last week by extending oil production cuts for another month, GasBuddy head of petroleum analysis Patrick De Haan said, ignoring the resurgence in global demand as economies recover from COVID-19.

“Markets responded by pushing oil prices up some 12 percent,” De Haan said. “As a result, motorists should prepare for further gas price increases in the weeks and potentially months ahead, with a $3 per gallon national average potentially less than a month away.”

Texas gas prices have risen 7.7 cents per gallon in the past week, averaging $2.50/g today, according to GasBuddy’s daily survey of 13,114 stations in Texas.

Gas prices in Texas are 34.7 cents per gallon higher than a month ago and stand 41.3 cents per gallon higher than a year ago.

“At the start of this year, it was somewhat outlandish to predict a $3 per gallon national average for the summer driving season, but thanks to the speed of recovery from the pandemic pushing demand higher and OPEC’s reluctance to raise oil production, we’re on the cusp of making that a reality,” De Haan said.

According to GasBuddy price reports, the cheapest station in Texas is priced at $1.95/g today while the most expensive is $3.19/g, a difference of $1.24/g.

The lowest price in the state today is $1.95/g while the highest is $3.19/g, a difference of $1.24/g.

“It’s extremely frustrating as a consumer to feel helpless as prices soar and as millions remain unemployed, so the only advice I can offer consumers is prepare for further increases, and to mitigate rising prices, shop around for the low prices every time you need to refuel,” De Haan said.

“I’m hopeful OPEC will see the error in their ways at next month’s meeting, but with demand exceeding supply, the longer the imbalance continues, the longer it will take for any rise in oil production to offset it.”

The national average price of gasoline has risen 3.4 cents per gallon in the last week, averaging $2.77/g today.

The national average is up 29.8 cents per gallon from a month ago and stands 41.1 cents per gallon higher than a year ago.

Neighboring areas and their current gas prices:

• Midland Odessa – $2.73/g, up 9.7 cents per gallon from last week’s $2.63/g.
• San Antonio – $2.41/g, up 6.8 cents per gallon from last week’s $2.34/g.
• Austin – $2.44/g, up 8.0 cents per gallon from last week’s $2.36/g.

Historical gasoline prices in Texas and the national average going back ten years:

March 8, 2020: $2.09/g (U.S. Average: $2.36/g)
March 8, 2019: $2.21/g (U.S. Average: $2.47/g)
March 8, 2018: $2.28/g (U.S. Average: $2.53/g)
March 8, 2017: $2.10/g (U.S. Average: $2.30/g)
March 8, 2016: $1.59/g (U.S. Average: $1.81/g)
March 8, 2015: $2.24/g (U.S. Average: $2.46/g)
March 8, 2014: $3.24/g (U.S. Average: $3.49/g)
March 8, 2013: $3.56/g (U.S. Average: $3.71/g)
March 8, 2012: $3.58/g (U.S. Average: $3.76/g)
March 8, 2011: $3.41/g (U.S. Average: $3.52/g)