AAA Idaho explains why gas prices on the rise
Idaho’s gas prices have shot up from the lowest to among the highest in the country during the first quarter of 2015, AAA Idaho said Wednesday.
Gas prices are up across the nation, AAA Idaho says, due to rising crude oil costs and a slower-than-expected increase in supplies. Idaho’s average price is $2.59, which is among the nation’s highest. The average price for a gallon in the United States is at $2.48, which includes a 7-cent bump in the past week.
However, gas is still cheaper in the Gem State than it was a year ago, when drivers were paying $3.45 a gallon, and the national average price was $3.67.
“Idaho is experiencing some of what one analyst termed ‘a bipolar effect,’ a reference to the fact that regional Utah refineries produce too much gas in winter, then can’t keep up with demand later in the year,” said AAA Idaho spokesman Dave Carlson.
In addition, the ExxonMobil refinery in Torrance, California, may not be fully operational until July, after an explosion and shutdown earlier this year. Utah refinery gasoline otherwise intended for Idaho is likely being diverted to Las Vegas markets where there is more profit potential. That diversion has been a factor in tighter Idaho supplies and higher prices in southern Idaho, AAA Idaho said.
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