Louisiana Drivers Cautioned to Budget for Much Higher Gas Prices
Drivers in Louisiana from Shreveport to New Orleans and Monroe to Lafayette and Lake Charles have been put on notice. The price we have all been paying for fuel for our vehicles is about to start climbing. And, according to some industry analysts that price increase could be "significant".
Those who have been driving for more than a few years have come to expect an increase in fuel prices as we head into the summer driving season. That price increase is generally a reflection of a change in the refinery process. Refineries during the spring months change the blend of fuels they make to better power our cars and trucks during the hot weather months. This changeover usually results in only a difference of a few pennies at the pump.
However, this year as we head back into the summertime driving there is a new economic catalyst that will likely affect your ability to fill your tank. The oil-producing nations that are members of OPEC have announced a production cutback. The oil industry cartel has gone on record as saying they'd like the price of oil to stabilize between $80 to $100 a barrel.
As of early this morning, oil prices were right at the $80 per barrel mark and the announcement by OPEC will likely create higher prices per barrel as trading continues in the commodity today. The announcement by OPEC came as a surprise to many in the oil industry. We're trying to do our part so you won't be surprised at the pump in the coming weeks as you budget for vacations and getaways with your family this summer.
According to Triple-A, the American Automobile Association, the price of a gallon of regular gas is averaging about $3.50 nationwide. In Louisiana, that price is significantly lower at $3.18 a gallon. However, Triple A industry analysts say they are telling their customers to budget for an increase of at least .30 cents per gallon by the first of June.
That additional .30 cents per gallon could result in an unexpected expenditure of more than $100 in fuel costs on a driving trip from Louisiana to the beaches of the Florida Panhandle. Of course, gas prices in Florida and Lower Alabama will be on the rise as well. Currently, Florida drivers are paying an average of $3.47 a gallon so by the time you make it to the beach your cost be almost $3.80 a gallon if the Triple-A forecast is correct.
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