Gas prices in Michigan are up 17 cents compared to a week ago as some experts warn prices could rise to $3 a gallon by this summer.
Michigan drivers are now paying an average of $2.64 per gallon for regular unleaded, which is the highest price seen since October of 2019. This price is 35 cents more than this time last month and 15 cents more than this time last year.
Motorists are paying an average of $40 for a full 15-gallon tank of gasoline; an increase of about $1 from when prices were their highest last January.
Since last week, the national average for a gallon of regular gasoline has increased by 11 cents to $2.63. The jump in the national average is a direct result of all major Gulf Coast refineries being impacted by the recent winter storm, which has caused gas supplies to tighten and pump prices to increase. Until refineries resume normal operations, supply is expected to remain tight in impacted areas, especially with road conditions and power outages reducing fuel deliveries.
At the close of Thursday’s formal trading session, WTI decreased by 62 cents to settle at $60.52. Although crude prices ended the day lower due to market concerns regarding demand, they increased last week due to supply and delivery impacts from the winter storm.
Additionally, the Energy Information Administration’s new weekly report revealed that total domestic crude inventories dropped by 7.3 million bbl, bringing the supply level to 461.8 million bbl. As crude inventories decline, crude prices are likely to continue increasing.
"The recent unprecedented winter weather has crippled Gulf Coast refineries, sending gas prices soaring nationwide," said Adrienne Woodland, spokesperson, AAA - The Auto Club Group. "Warmer weather in the Gulf Coast will assist with getting refinery operations up and running again, but until then the impact may result in pump price increases over the next few days."
Compared to last week, Metro Detroit’s average daily gas price increased. Metro Detroit’s current average is $2.64 per gallon, about 16 cents more than last week’s average and 18 cents more than this same time last year.
Click here to view AAA's state and metro gas averages
Most expensive gas price averages: Marquette ($2.65), Jackson ($2.65), Metro Detroit ($2.64) Least expensive gas price averages: Traverse City ($2.58), Flint ($2.62), Saginaw ($2.63)
Daily national, state, and metro gas price averages can be found at Gasprices.aaa.com.