Delaware motorists hammered despite lower gas tax
Gas prices jumped in Delaware and elsewhere as the effects of Hurricane Harvey were felt more than 1,000 miles away.
As of early this week, gas prices had risen nearly 50 cents from a week earlier, Wilmington-based AAA Mid-Atlantic reported today.
| Regular Unleaded | Pennsylvania | Delaware | New Jersey* |
| Current avg. price per gallon | $2.87 | $2.69 | $2.79 |
| Yesterday avg. | $2.85 | $2.69 | $2.77 |
| One week ago avg. | $2.55 | $2.25 | $2.39 |
| Month ago avg. | $2.57 | $2.30 | $2.43 |
| Year ago avg. | $2.33 | $2.13 | $2.00 |
| Highest avg. in 2016 | $2.53 (12/31/16) | $2.30 (12/31/16) | $2.43 (12/31/16) |
| Highest avg. in 2015 | $2.90 (6/19/15) | $2.76 (6/18/15) | $2.62 (6/20/15) |
| Highest avg. in 2014 | $3.81 (5/5/14) | $3.68 (4/28/14) | $3.57 (6/25/14) |
| Highest avg. recorded | $4.07 (7/16/08) | $4. |
$4.00 (7/8/08) |
| Regular Unleaded | Philadelphia (5-county region) | South Jersey* |
| Current avg. price per gallon | $2.92 | $2.73 |
| Yesterday avg. | $2.90 | $2.72 |
| One week ago avg. | $2.56 | $2.31 |
| Month ago avg. | $2.60 | $2.39 |
| Year ago avg. | $2.31 | $1.96 |
| Highest avg. in 2016 | $2.52 (12/31/16) | $2.39 (12/31/16) |
| Highest avg. in 2015 | $2.93 (6/19/15) | $2.56 (6/15/15) |
| Highest avg. in 2014 | $3.79 (4/30/14) | $3.55 (2/20/14) |
| Highest avg. recorded | $4.16 (6/20/08) | $4.00 (6/14/08) |
| Regular Unleaded | Maryland | Wilkes-Barre |
| Current avg. price per gallon | $2.74 | $2.86 |
| Yesterday avg. | $2.72 | $2.84 |
| One week ago avg. | $2.33 | $2.53 |
| Month ago avg. | $2.35 | $2.56 |
| Year ago avg. | $2.22 | $2.36 |
| Highest avg. in 2016 | $2.34 (6/16/16) | $2.55 (12/31/16) |
| Highest avg. in 2015 | $2.78 (6/20/15) | $2.84 (6/17/15) |
| Highest avg. in 2014 | $3.70 (6/24/14) | $3.78 (5/5/14) |
| Highest avg. recorded | $4.05 (6/17/08) | $4.06 (7/17/08) |
Gas prices varied widely, with a few independent stations in the Elsmere and New Castle areas staying around $2.53 a gallon, the GasBuddy.com website reported. Others moved to the $2.70 mark. The quick jump led to questions about price gouging as retailers did not pay anything approaching $2.70 a gallon. However, analysts say the quick price spikes help balance out even greater price increases when supplies actually tighten.
As has been the case all summer, Delaware motorists have seen a diminished benefit from the state’s lower gas taxes. For example, New Jersey gas prices are only seven cents more than in Delaware, even though the gas tax is nearly a quarter higher
Morningstar reported a mixed picture on Monday, with gasoline futures prices moderating as more refineries resumed production and a key pipeline opened.
Long-term, the U.S. could begin to see less growth in production, since crude oil prices have stayed below the $50 a barrel figure that tends to spur drilling.
“Consumers will see a short-term spike in the coming weeks with gas prices likely topping $2.50 per gallon, but quickly dropping by mid to late September,” Ken Grant, manager of public and government affairs for AAA Mid-Atlantic stated last week. “AAA does not expect refineries to be offline for months, as early reports indicate minimal to no significant damage to Corpus Christi and Houston refineries, but the coming days will offer more insight.”
“When you see what’s going on in Houston, you can hardly refer to an increase in gas prices as ‘pain’ at the pump”, says Grant. “That said, the timing of the increase is unfortunate for all those planning one final road trip this summer, as motorists are expected to pay the highest Labor Day gas prices in two years.”
DOE released 500,000 barrels of oil from the U.S. Strategic Petroleum Reserve – the nation’s reserve of crude oil. The oil will be delivered via pipeline to the Phillips 66 refinery in Westlake, LA According to DOE, it will continue to review incoming requests for oil in the reserve, meaning that it could release more if deemed necessary.
“The shut downs do not indicate a shortage of gasoline supplies in the Gulf Coast region or across the country,” added Grant. “These are preventative measures. Overall stocks in the Gulf are above average levels and will be available to drivers once power is restored and area roads are cleared.”
Refinery, pipeline and logistical problems on the Gulf Coast are expected to squeeze fuel supply delivery volumes to the Southeast, Midwest and Mid-Atlantic.
“Northeast refiners are stepping in and barging supplies to the U.S. Southeast, the Caribbean, Mexico, and South America to offset the lack of supply from Gulf Coast refineries and pipelines shut down due to Harvey,” Grant stated.
