Gas prices unexpectedly rose in Delaware last week, the likely result of fears of disruptions from a tropical storm that made landfall in Texas.
The price spike came in spite of many market experts who continue to believe that gas prices are nearing a seasonal high due to the completion of seasonal refinery maintenance and abundant supplies.
Consumers saw the biggest monthly jump in prices in six years in May, as the cost of gasoline rose 10 percent compared to April, according to the U.S. Department of Labor’s Consumer Price Index.
Delaware saw prices jump by a dime in some areas during the past week or so.
Friday’s national average price of $2.80 per gallon is a high price for 2015, with $2.75 a gallon prices commonplace in the First State/
The national average is up a penny on the week and nine cents more than one month ago. However, gas prices remain 88 cents lower compared to the same time last year
Crude traded above $60 per barrel last week due to Tropical Storm Bill making landfall in Texas.
At the same time, the Energy Information Administration reported gasoline stocks saw a 500,000 barrel increase to 217.8 million barrels.
“Gas prices have unexpectedly jumped in many areas over the previous week due to a decline in gasoline stocks caused by high fuel demand and persistent refinery problems, limiting gasoline production,” said Jana Tidwell, manager of Public and Government Affairs for AAA Mid-Atlantic, Wilmington. “Despite the rise in pump prices, drivers continue to experience significant year-over-year savings with Friday’s average price at 88 cents per gallon less than the same date last year.”
In Dover, the legislative session was drawing a close with few signs that a gas tax increase would be hammered out as a way to deal with a shortfall in transportation funding.
The budget is reportedly being held up by Republicans wanting to shift money from the general fund for Delaware Department of Transportation salaries, rather than raising the fuel tax.
Many years ago, salaries were paid out the general fund, rather than the Transportation Trust Fund.
Democrats want to increase certain motor vehicle fees.
Talk of a gas tax increase is a sore point with many Delaware residents accustomed to low property taxes and no retail sales tax.
