AAA Nebraska: Expect $4 gas within the month

A Journal Star reporter asked Rose White, the eminent public affairs director of AAA Nebraska, to answer some questions regarding fuel supplies and prices. White predicted $4 regular-grade gasoline will be here soon. “Crude closed in the U.S. futures market above $133 a barrel (Wednesday) and processed unleaded closed at $3.40 a gallon,” White said in an e-mail.

“Add to that price state fuel taxes and federal gasoline taxes, plus retail operating costs and profit margins, and we are looking at averages that are expected to be near or above the $4 level for unleaded fuel.” When asked if the $4 gasoline would affect the driving habits of Americans, White said many motorists are already making minimal changes by combining errands and using alternate transportation if available. “Small car sales are up and large vehicle sales are down.

Some companies are allowing employees to work four 10-hour days. Doing so allows employees to save 15-20% of their fuel.” White said we are paying these prices due to an increase in global demand. “It is not the result of hurricanes in the Gulf, or an explosion at a refinery, or an increase in political tensions. If any of these issues occur, it could cause immediate spikes that would send prices soaring another 10-20 cents.”