May 14, 2007: U.S. Gasoline Prices Soar Due to Refinery Outages

May 14, 2007

WASHINGTON - The average retail price for gasoline in the United States is now at or near its record nominal price. The latest Gasoline and Diesel Fuel Update, issued by the U.S. Department of Energy’s (DOE’s) Energy Information Administration (EIA), places the U.S. average price for regular unleaded gasoline at $3.054 per gallon, just short of the $3.07 peak that was achieved in September 2005.

According to EIA's Short-Term Energy Outlook, problems at refineries in the United States and abroad are mainly to blame for the high gasoline prices, although strong global demand is also holding down imports. Those factors are keeping gasoline inventories below normal, leading the EIA to boost its projection for summer gasoline prices by 14 cents per gallon. The EIA now expects the price for regular unleaded gasoline to average $2.95 per gallon this summer.

Publication date: 05/14/2007