Harvey Causes Rise in Gas Prices

Prices have increased by 29 cents per gallon in the past week and 12 cents overnight in Georgia – bringing the state’s average to $2.50.

On Sunday, the company that manages the pipeline said it is working on “final repairs” and hopes to have the line back up and running on Monday. Georgia and SC have seen the average price go up by 27 cents and 31 cents, respectively, since Harvey hit the Texas Coast over the weekend, according to AAA.

Analysts say the hikes will differ greatly by region, with prices in Eastern Canada jumping by as much as nine cents per litre over the Labour Day long weekend, while prices in Western Canada remain relatively stable.

According to AAA, since Friday – when Harvey came ashore in Texas – gas prices have increased 10 cents in Florida.

The good news is that the bad news will not last, he said.

But prices should decline in a few weeks, given early reports that Corpus Christi and Houston refineries were not significantly damaged, he added.

And once they start producing fuel – probably toward the end of the month – prices should drop steadily.

People say because of the hurricane, the surge in prices is understandable.

The acceleration in gasoline prices in the aftermath Hurricane Harvey should ease as refineries in Texas restart production, but the process is slow. He said the condition of several major refineries is still unclear, and the USA gasoline supply is complicated by the fact that the U.S.is now a significant exporter of gasoline to central and South America. “Multiple refineries and drilling rigs had to be evacuated ahead of the storm, and the Houston Ship Channel was closed”. The Colonial Pipeline that supplies gas to northeastern states is slowly returning to service following the hurricane.

Additionally, AAA said in a news release that multiple refineries and drilling rigs near the Texas coast had to be evacuated.

Perry said he’s authorized immediate shipments of crude to the Phillips 66 refinery in Lake Charles, Louisiana.

Industry experts say to purchase only what you need for the next 24 hours given the fact that prices could fall soon. “Everybody is being very forward-looking”.

When you go to fill up your gas tank, you may not be thrilled with the price. But this is not a normal situation.

One station in Harlingen was out of diesel and premium gas due to delivery delays. “So you fill up now”.

Hurricane Harvey has had a significant impact on gas prices in Georgia and SC.

For instance, Smith’s mother in law, Sharon Wikel of Johns Creek.

“Gasoline inventories are at historically high levels”, she said.