Drivers Face High Gas Prices Despite US Oil Boom

By: Associated Press Email
By: Associated Press Email

NEW YORK - The United States is increasing its oil production faster than ever. And American drivers are guzzling less gas.

But the national average price of a gallon of gas has surged to $3.69 a gallon. And it's expected to go higher -- perhaps approaching $4 by May.

Last year, U.S. oil output rose 14 percent to 6.5 million barrels a day -- a record increase. Meanwhile, U.S. gasoline demand is at its lowest level since 2001, as people switch to more fuel-efficient cars.

The experts say the laws of supply and demand haven't been repealed. They're working -- but not the way U.S. drivers want them to.

U.S. drivers compete with drivers around the world for every gallon of gas. And as the economies of Asia and Latin America expand, their energy consumption is rising. That puts pressure on fuel supplies and prices everywhere.

While the U.S. still consumes more oil than any other country, imports are falling. That leaves China, the world's largest oil importer, as the single biggest influence on global demand. And its consumption has risen 28 percent in five years.

Other factors making gas more expensive are high crude oil prices and temporary shutdowns of refineries in the winter.


Join the Conversation!

To comment, the following rules must be followed:

  • No Obscenity, Profanity, Vulgarity, Racism or Violent Descriptions
  • No Negative Community Comparisons
  • No Fighting, Name-calling, Trolling or Personal Attacks
  • Multiple Accounts are Not Allowed
  • Stay on Story Topic

Comments may be monitored for inappropriate content, but the station is under no legal obligation to do so.
If you believe a comment violates the above rules, please use the Flagging Tool to alert a Moderator.
Flagging does not guarantee removal.

Multiple violations may result in account suspension.
Decisions to suspend or unsuspend accounts are made by Station Moderators.
Questions may be sent to comments@kbtx.com. Please provide detailed information.

powered by Disqus
KBTX-TV Channel 3 4141 E. 29th Street Bryan, TX 77802 Phone: (979) 846-7777 Fax: (979) 846-1490 News Fax: (979) 846-1888
Gray Television, Inc. - Copyright © 2002-2014 - Designed by Gray Digital Media - Powered by Clickability 199459431 - kbtx.com/a?a=199459431