News

Fuel users keeping close eye on gas station prices

by Kate Shunney, Lisa Schauer & Zac Swaim

Gas prices around the area have risen over $4 in the weeks since the U.S. joined Israel in a war against Iran. A restriction on the movement of oil out of the large Middle East oil fields has caused the entire global fuel supply chain to fluctuate.

In Berkeley Springs, as of Monday afternoon, April 6, gas prices showed an average increase of 20 cents per gallon since last Thursday, April 2. Prices were stuck at $4.19 at ROCS in Berkeley Springs, up from $3.99 before Easter. Rutter’s on Monday was selling regular gasoline at $3.99 per gallon, up from $3.79 last Thursday. Locally-owned Roy’s Service Center showed gas prices at $4.09 per gallon on Monday.

Roy’s gas prices on April 2.
Roy’s gas prices on April 6.
Rutter’s fuel prices on April 2.
Rutter’s fuel prices on April 6.

Across the Potomac in Maryland, Hancock’s average gas price at four stations in town was $4.19 per gallon for regular, which remained steady over the Easter weekend.

Nationwide, AAA reported on Monday, April 6 that the average gallon of gas in the United States cost $4.12 per gallon and diesel cost $5.62 per gallon.

On Monday, West Virginia’s average cost for gallon of regular was $3.96, according to AAA, with the Potomac Highland counties seeing prices above that average.

In response to questions about the impact of fuel prices on his patrol fleet and budget, Morgan County Sheriff Johnnie Walter told The Morgan Messenger: “So far, we have been able to manage the increase, but this will be the first full month affected by higher gas prices. Once the March credit card bills are finalized, we will have a clearer picture of the overall impact.”

“We are fairly confident we can remain within this year’s budget through June and do not anticipate an issue with that line item for the remainder of the current fiscal year. However, next year’s budget has already been submitted and was based on fuel expenditures from earlier this year. If gas prices remain elevated, it could have an impact on next year’s,” said Sheriff Walter.

Higher fuel prices are also affecting the cost of fertilizer and freight costs for delivered goods, among other effects.

ROCS fuel prices on April 2.

Legislative members of West Virginia’s Republican Freedom Caucus last week called on Governor Patrick Morrisey to suspend the state’s fuel tax for 90 days, including taxes on gas, diesel and heating oil. That tax varies, but averages 37.5 cent per gallon.

“West Virginians are being squeezed from every direction – higher grocery bills, skyrocketing utility costs, and now sharp increases at the pump,” the caucus said in an April 3 statement.

According to federal data, more than half the price of a gallon of gas comes from crude oil, about 51 percent, while refining, distribution, and marketing make up roughly 31 percent combined, and taxes account for about 18 percent. This means much of what drivers pay is tied to global oil markets, not just local conditions, though local competition and demand can still push prices slightly higher or lower.

The average price of a barrel of oil has risen from $70 per barrel to somewhere between $110-120 per barrel following the U.S. and Israel’s bombings of Iran. In retaliation, Iran has essentially closed international tanker traffic through the Strait of Hormuz, where around 20% of the world’s oil passes out of the Middle East.

 

Facebook

Weather

BERKELEY SPRINGS WEATHER