By Alice Seeley
As of May 16, there are only three states in the U.S. with a gas price average below $4 per gallon – Georgia, Kansas, and Oklahoma. On May 15, the national gas price average reached a new high at $4.47 per gallon. A year earlier, the average gas price was $1.44 less at $3.028.
Currently, the most expensive gas prices in the country are in California at $5.98 per gallon and Hawaii at $5.31 per gallon. The lowest average gas prices can be found in Kansas at $3.98 per gallon and Georgia at $3.99 per gallon. Not surprisingly, diesel also hit a record high on Sunday at $5.56 per gallon. This is a $0.47 increase from only a month earlier and $2.41 more than a year ago.
These record highs occurred only a few days after the Biden administration canceled oil and gas sales in the Gulf of Mexico and Alaska’s Cook Inlet, most likely damaging domestic fuel production.
According to the Interior Department, the Cook Inlet lease sale was canceled due to a “lack of industry interest in leasing in the area,” and the two lease sales in the Gulf of Mexico were canceled because of “conflicting court rulings” that impacted the proposed moves.
According to the president of Lipow Oil Associates, Andy Lipow, the national average gas price could reach a high of $4.50 per gallon very soon.
“Everything is pointing toward even higher prices. We are well on our way toward $5,” Lipow stated.
Data analyst at Kpler, Matt Smith, agreed with Lipow that $5 gallon is “by no means beyond the realms of possibility.”
“We should get used to higher gasoline prices,” Smith said. “We shouldn’t expect to see them dropping back to $2 a gallon. Those times seem to have passed.”
Patrick De Haan, head of petroleum analysis at GasBuddy, agreed with Smith and Lipow, stating that the average could reach $5 per gallon this week.
