Virginia Drivers Don’t Catch a Break as Gasoline Prices Rise Again

Pump prices rose again over the past week due primarily to the high cost of crude oil. Fear of a global energy supply disruption due to Russia’s invasion of Ukraine outweighs the demand concerns prompted by the impact of COVID-19 on China’s economy.

The cost of a barrel of crude continues to hover around $100. With the oil price accounting for about 60% of pump prices, the national average for a gallon of regular is now $4.19, an increase of seven cents since Monday, April 25.  Virginia’s gas price average ($4.05) is up 10 cents in the past week, down two cents in the past month, but $1.28 more than on this day one year ago.

“As long as the supply remains tight, it will be hard for crude oil prices to fall and consumers will in turn face higher prices at the pump,” said Morgan Dean, AAA Mid-Atlantic spokesperson. “It now costs drivers in the U.S. about $23 more to fill up than a year ago.”

According to new data from the Energy Information Administration (EIA), total domestic gasoline stocks decreased by 1.6 million bbl to 230.8 million bbl last week. Gasoline demand decreased slightly from 8.87 million b/d to 8.74 million b/d. Although lower gas demand would typically push pump prices lower, the fluctuating oil price and tight gasoline supply have pushed pump prices higher. Pump prices will likely face upward pressure as oil prices remain above $100 per barrel.

Today’s national average for a gallon of gas is $4.19, which is a penny less than a month ago, but $1.29 more than a year ago.

In a recent poll* by AAA of Virginia residents, more than 40% said gas prices were not even a consideration in their travel planning, but almost 45% said they were taking fewer or shorter trips because of gas prices.