AAA: Gas prices could rise another 50 cents per gallon this year

Palm Beach County’s average gas price leads Florida at $2.93 per gallon, and a rise of another 50 cents this year is a real possibility, says motorist group AAA, citing partners at the Oil Price Information Service.

“OPIS believes oil prices could reach as high as $90 per barrel before the end of the year,” AAA said in a statement early Monday. “While that high is not guaranteed, gas prices would be 50 cents higher, if it happened.”

Florida gas prices remain at their highest levels in three years, and a full tank costs an average of $42, an increase of $8 from this time last year, AAA said. The per-gallon price is still below a high of $4.08 in 2008, but prices above $3 are already appearing at some local stations and could become the norm as the year progresses.

Heading into the unofficial start of the summer driving season Memorial Day weekend, the average family is expected to pay a total of $200 more for gasoline this summer than last year, and $250 more than in the summer of 2016, the group said. At the same time, U.S. producers are increasing their output, and that’s taking the edge off for now. State and local average gas prices stayed within a penny of where they were a week ago.

Still, gas inventories are dropping as international tensions increase, fueled in part by President Donald Trump’s exit from the Iran nuclear deal, which is expected to result in sanctions that effectively limit the supply of Iranian oil on world markets.

In West Palm Beach, prices on Sunday ranged from $2.70 per gallon at five stations to $3.24 at Texaco on Palm Beach Lakes Boulevard, according to price-tracker GasBuddy.

In Jupiter, the cheapest gas was $2.75 at Mobil on Indiantown Road and Alt. A1A and Circle K on W. Indiantown Road and Orange Road. Four stations tied for the highest at $3.09.

In Wellington, the lowest price was $2.79 at Shell on US 441 near Southern Boulevard and the highest was $3.09 at Shell on Southshore Boulevard, according to GasBuddy.

 

 

 

 

Gas price hikes easing? Not if Trump exits Iran deal, analysts say

Update: President Trump tweeted Monday, “I will be announcing my decision on the Iran Deal tomorrow from the White House at 2:00 p.m.”

Original post: Retail gas prices sit in a restless and jittery lull as analysts say higher costs at the pump likely await if President Donald Trump pulls out of the Iran nuclear deal by May 12.

Already oil prices have reached a 2018 high, and Friday contracts marked the priciest since November 2014. Generally that means higher costs at the gas station are in the pipeline.

Retail  prices have held steady for a week but “all bets are off right now, pending the President’s decision” on the Iranian nuclear deal, said Mark  Jenkins,  spokesman for motorist organization AAA/The Auto Club Group.

Palm Beach County’s average price fell a penny to $2.85 per gallon as it remained the state’s costliest market, according to AAA. Florida’s average fell one cent to $2.73 on Sunday, but that’s up 35 cents compared to this time last year.

Pulling the U.S. out of the Iran nuclear deal by a May 12 renewal deadline could mean reimposed sanctions against Iran and effectively take 1 million barrels of Iranian oil per day off the world market, resulting in reduced global oil supply and higher fuel prices, AAA said.

In Jupiter, often the priciest town in the priciest market in Florida for gasoline, costs at the pump ranged from $2.67 at a Mobil on Indiantown Rd. and Alt. A1A to $2.99 at Mobil and Shell stations elsewhere on Indiantown Road, according to price-tracker GasBuddy on Sunday.

In West Palm Beach, the low-priced leader was Cumberland Farms, $2.62 on Cresthaven Blvd. near Military Trail, according to GasBuddy.