Gas prices hit their high for the year with the approach of the Memorial Day weekend.
The question is whether crude oil prices will continue to climb, or whether the region will see stable or falling prices during the summer driving season. AAA Mid-Atlantic is based in Wilmington.
The average price at the pump rose to $2.24 a gallon in Delaware, up seven cents from a week ago and about four cents below the national average and 34 cents below the figure of a year ago.
The price at the pump in northern Delaware was as low as $2.10 a gallon in the New Castle area.
Gas prices are rising due to more expensive crude oil costs brought about by wildfires in Canada and supply disruptions in other oil-producing countries.
According to last week’s supply report from the Energy Information Administration, U.S. gasoline demand hit its highest mark of the year at 9.66 million barrels per day, which was the highest number since August and 4.4 percent higher than the same period last year.
Refineries are ramping up production, although some facilities, particularly in the Great Lakes region, have been impacted by the fires in Alberta, Canada.
At the close of Friday’s formal trading session on the NYMEX, West Texas Intermediate (WTI) crude oil was up $2.20 per barrel on the week to settle at $48.41.
Global oil prices began the week higher as market watchers continue to evaluate how recent supply disruptions may impact the glut of global crude oil. This includes the impact of wild fires in Canada and ongoing issues in the Middle East, North Africa, Nigeria and Venezuela.
There have also been signs that oil production is flat or declining in high-cost areas such as North Dakota.
“Gas prices peak in most years before Memorial Day, which means we could see them decline later this summer if normal trends apply,” said Jana L. Tidwell, manager of Public and Government Affairs for AAA Mid-Atlantic. “The big wild card is the cost of crude oil. If the price of crude oil continues to rise, we could see higher gas prices going into the summer months. However, if oil prices remain flat, most drivers should pay the cheapest summertime gas prices in more than a decade.”
AAA forecasts nearly 34 million (89 percent) holiday travelers will drive to their Memorial Day destinations, an increase of 2.1 percent over last year as a result of lower gas prices.
According to a recent AAA survey, 55 percent of Americans say they are more likely to take a road trip this year due to lower gas prices.
Motorists can check out AAA’s Fuel Price Finder (AAA.com/fuelfinder) for the lowest prices in their area.
