Tuesday, August 8, 2023

What's causing Florida gas prices to spike? - WPTV News Channel 5 West Palm

WEST PALM BEACH, Fla. — Gas prices in Florida continued a summertime climb, hitting a new statewide average high for the year at $3.84 a gallon, according to the American Automobile Association (AAA).

The average price of gas in Palm Beach County was $3.95 on Monday while it was $3.91 in Martin County.

Up the coast in St. Lucie County, it was $3.85 and $3.84 in Indian River. The price was a little bit less in Okeechobee County at $3.79.

"In just the past two weeks, we've seen gas prices shoot up 30 cents a gallon," Mark Jenkins of AAA said.

Mark Jenkins with AAA discusses what's causing gas prices to surge this summer.
Mark Jenkins with AAA discusses what's causing gas prices to surge this summer.

SPECIAL SECTION: Fuel Frustration

Industry analysts point to two primary reasons for the price jump: oppressive heat affecting Gulf Coast refineries and a cut in production by OPEC.

At West Palm Gas on Southern Boulevard, station owner Alex Fernandez said he's trying to keep up with the rising prices for every delivery he receives.

Alex Fernandez speaks about the rising price of gas and how it's impacting his West Palm Beach station.
Alex Fernandez speaks about the rising price of gas and how it's impacting his West Palm Beach station.

"All the oil that's already in the ports has been paid for already," Fernandez said. "The price is set, so this is all for future pricing but it affects us on a day-to-day basis."

Analysts are suggesting the price of gas may have hit its peak and could start retreating as demand slows near the end of summer.

"The big wild card remains hurricane season," Jenkins said. "If we have a big hurricane that threatens refineries along the Gulf Coast, that can cause a big spike in gas prices."

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