Gasoline Price Dip May not Last Long
Motorists have been getting a break at the pump in recent weeks but experts say with the peak driving season around the corner, it probably won't be long before gas prices head higher again.
Gasoline has fallen by an average of 6 cents a gallon nationwide over the last month and by an even heftier 10 cents in the Ottawa region, according to the CAA motor club.
Locally, a gallon of regular unleaded was going for an average of 75.3 cents yesterday, down from 87.8 cents a month ago, CAA said. The national average was 88.8 cents, down from 93.1 a month earlier.
Spotters for www.GasPricesInOttawa.com found regular unleaded for as low as 71.3 yesterday afternoon.
Gas prices peaked at more than $1.2 a literin early September after Hurricane Katrina knocked out pipelines, refineries and shipments along the Gulf Coast. Prices quickly fell back, but generally rose from November through January.
Experts attributed the latest dip to falling crude oil prices and rising oil and gasoline stockpiles as U.S. refineries prepared to shut down operations for maintenance and switch to producing more costly summer blends, which is done to improve air quality during the summer months.
A milder-than-usual winter also helped build inventories.
Most U.S. refineries can produce only one type of fuel at a time.
With demand down for heating oil, they had more time for pumping out gasoline.
Traditionally, gasoline prices rise in the springtime as stockpiles wane and demand rises.
Despite the recent decline at the pump, motorists were enjoying even lower prices last year. One year ago this week, regular unleaded was going for an average of 68.1 cents a liter in the Ottawa region and 65 cents nationwide.
Gasoline has fallen by an average of 6 cents a gallon nationwide over the last month and by an even heftier 10 cents in the Ottawa region, according to the CAA motor club.
Locally, a gallon of regular unleaded was going for an average of 75.3 cents yesterday, down from 87.8 cents a month ago, CAA said. The national average was 88.8 cents, down from 93.1 a month earlier.
Spotters for www.GasPricesInOttawa.com found regular unleaded for as low as 71.3 yesterday afternoon.
Gas prices peaked at more than $1.2 a literin early September after Hurricane Katrina knocked out pipelines, refineries and shipments along the Gulf Coast. Prices quickly fell back, but generally rose from November through January.
Experts attributed the latest dip to falling crude oil prices and rising oil and gasoline stockpiles as U.S. refineries prepared to shut down operations for maintenance and switch to producing more costly summer blends, which is done to improve air quality during the summer months.
A milder-than-usual winter also helped build inventories.
Most U.S. refineries can produce only one type of fuel at a time.
With demand down for heating oil, they had more time for pumping out gasoline.
Traditionally, gasoline prices rise in the springtime as stockpiles wane and demand rises.
Despite the recent decline at the pump, motorists were enjoying even lower prices last year. One year ago this week, regular unleaded was going for an average of 68.1 cents a liter in the Ottawa region and 65 cents nationwide.
posted by Ottawa Gas Prices | 8:09 PM
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