The national and Oregon averages skyrocket to new record highs after the price of oil jumped above $110 per barrel last week. Drivers are paying more to fill up in 49 states including Oregon. For the week, the national average for regular soars 17 cents to $4.37 a gallon. The Oregon average jumps 16 cents to $4.85.
The national and Oregon averages are both at new record highs, eclipsing the record highs set in March.
“The cost of crude oil accounts for more than half of what we pay at the pumps, so higher crude oil prices translate into more expensive gas and diesel. Unfortunately, these high pump prices are not likely to ease anytime soon,” says Marie Dodds, public affairs director for AAA Oregon/Idaho.
On average, about 53% of what we pay for in a gallon of gasoline is for the price of crude oil,12% is refining, 21% distribution and marketing, and 15% are taxes, according to the U.S. Energy Information Administration.
About 3% of oil, and a total of 8% of oil and refined products used in the U.S. last year came from Russia, while about 25% of Europe’s oil is imported from Russia. The U.S. is the largest oil producer in the world. Other top producers are Saudi Arabia and Russia.
Demand for gasoline in the U.S. is up slightly, from 8.74 million b/d to 8.86 million b/d. Total domestic gasoline stocks decreased by 2.2 million bbl to 228.6 million bbl last week, according to the U.S. Energy Information Administration (EIA). Increasing gas demand and rising oil prices have pushed pump prices higher. Pump prices will likely face upward pressure as oil prices remain above $100 per barrel.
For the week, the national average soars 18 cents to $5.55 a gallon. This is a record high. Oregon’s average jumps 13 cents to $5.60. This is also a record high. A year ago the national average for diesel was $3.12 and the Oregon average was $3.28.
Source: AAA Oregon/Idaho