HVAC Breaking News

March 17, 2008: Record Oil Prices Causing Gasoline Price Spike

WASHINGTON - Crude oil prices are at record highs and are being felt at the pump, with the national average price of regular gasoline expected to peak at $3.50 per gallon this spring, according to a new report from the U.S. Department of Energy’s (DOE’s) Energy Information Administration (EIA).

The EIA’s Short-Term Energy Outlook notes that the spot price of crude oil is expected to average $102 per barrel for the month of March, up from an average of $95 per barrel in February. As a result, some areas of the country may experience short-term peaks in regular gasoline prices exceeding $4 per gallon, while the price of gasoline for the year as a whole is expected to average $3.21 per gallon. Diesel fuel prices will be even higher, averaging $3.70 per gallon for March and April and $3.45 per gallon for the full year.

The EIA expects the higher prices to have a direct impact on petroleum consumption in the United States. The total U.S. consumption of liquid fuels and petroleum products averaged 20.7 million barrels per day in 2007, but is projected to increase by only 40,000 barrels per day in 2008. With the rapid increase in ethanol production to meet the new national Renewable Fuel Standard, the growth in liquid fuel consumption will be exceeded by the growth in ethanol production, causing U.S. petroleum consumption to drop by 90,000 barrels per day. For the world as a whole, however, petroleum consumption is projected to increase by 1.3 million barrels per day by the end of 2008. The EIA expects industrialized countries to increase their demand by only 200,000 barrels per day this year, while the bulk of the demand growth will occur in China, India, the Middle East oil-producing countries, and other Asian countries.

Publication date: 03/17/2008

Did you enjoy this article? Click here to subscribe to The NEWS Magazine

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

2014 World Energy Engineering Congress

Scenes from the 2014 World Energy Engineering Congress in Washington, D.C.

Podcasts

NEWSMakers: Greenheck Mixed Flow Fan, Model EQB

Shane Dock, Application Engineer at Greenheck, will introduce you to Greenheck’s new EQB mixed flow fan. We’ll discuss what the features of the EQB’s innovative design, what kinds of applications can utilize the EQB, and why the EQB is an attractive inline choice for your customers’ projects.  Dock is currently focused on applications regarding inline fans, gravity ventilators, and electrical products. Posted March 4th.

Sponsor:



 

More Podcasts

ACHRNEWS

NEWS 03-02-15 cover

2015 March 2

Check out the weekly edition of The NEWS today!

Table Of Contents Subscribe

HVAC Trends

The NEWS regularly reports on HVAC industry trends in our weekly issues. What trends do you see?
View Results Poll Archive

HVACR INDUSTRY STORE

2015.jpg
2015 National Plumbing & HVAC Estimator

Every plumbing and HVAC estimator can use the cost estimates in this practical manual!

More Products

Clear Seas Research

 

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications, Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

DON'T MISS A THING

Magazine image
 
Register today for complete access to ACHRNews.com. Get full access to the latest features, Extra Edition, and more.

STAY CONNECTED

facebook icontwitter iconyoutube iconLinkedIn i con