Buffalo, N.Y. (WBEN) - The national average price for a gallon of gasoline on Monday was sitting at $3.28, which was up eight cents from last week Monday. One year ago, the price at the pump averaged $3.41 per-gallon.
In New York State, the average price for a gallon of gas is $3.30, up two cents from just last week. A year ago, though, saw the state averaging $3.49 per-gallon at the pump, which is a considerable difference.
While small movements in gas prices are typical for this time of year, Mark Gruba from AAA of Western and Central New York says gas prices in the Buffalo area are also down a couple of cents from a week ago, sitting even with the state average of $3.30 per-gallon.
Whenever it comes to determining why some regions of Western New York may differ from others across New York State and the rest of the country, Gruba says there's a variety of factors people need to consider when looking at gas prices.
"First of all, the numbers that we share with you are averages, they represent a composite. You might see one gas station that's five cents or 10 cents different than another gas station, and then we bring an average together. Currently, Buffalo is $3.30, at least as of Monday," said Gruba in an interview with WBEN.
"Availability is always going to be an issue. Generally speaking, it isn't a problem right now across the state. Cost of delivery can be an issue as well, we're not really seeing an issue. A lot of that this time of year is tied to weather, but again, for the most part, we're not really seeing any major weather issues that are causing gas delivery problems.
"And then the other factor comes down to each individual gas station, which remember, are independently operated. Operational costs will always factor in to that price you see up on the sign. It might be the cost of paying an employee, the cost of keeping the pumps working. Inevitably, costs associated with those things are going to be passed on to the consumer."
After months of barely budging more than a few cents, the national average for pump prices moved into the fast lane, surging 8 cents since last Monday.
A significant contributor is a shutdown at the large BP-Whiting refinery in Indiana, which was offline for more than two weeks due to a power outage. The refinery processes 435,000 barrels of crude oil per-day, and the shutdown caused prices throughout the Midwest to climb, pushing the national average higher as well.
This past week, though, saw a decrease in gas demand in New York State, but fluctuating oil prices and a tight gas supply is seeing prices increase.
While it may be difficult, at this time, to pinpoint an exact estimate of how much gas prices could spike, Gruba says there are a couple of things to examine.
"The primary factor, when it comes to the price of gasoline - no matter whether it's here or anywhere else - is the price of oil. Over the last several weeks, we've watched the price of oil increase steadily from the low-to-mid $70s into the upper $70s and low $80s, as of the moment. As that goes up, our prices tend to rise accordingly, and we're seeing some effect of that, again, across the state," Gruba explained. "Prices are up a couple of cents across the country, up eight cents from a week ago, but here in the area, a little bit of a lagging effect. As I said, Buffalo down two cents from a week ago. But if oil prices continue to rise, we're gonna see those numbers rise at the pump as well."
According to AAA data Monday morning, oil prices range from $78-to-$83 per-barrel, a $2 increase from one week ago. Diesel prices are also fluctuating, with the national average price for diesel at $4.10 per-gallon, up 10 cents from one week ago, and down from $4.51 a year ago.
The New York average for diesel is $4.41, up 1 cent from a week ago, and lower than $5.14 one year ago.
Is there any relief in sight of gas prices potentially reaching a peak, or seeing the upward trend in pricing stall? Gruba says this time of year is one where we're likely going to see the increase in prices gradually over time before there's any improvement.
"We are working toward a time of year, eventually, where the weather is going to improve, more people are going to get out and go different places with their cars. That's going to increase demand. You put a little bit of increased demand, married with, at least in recent weeks, a rise in oil prices, it's hard to see relief on the way at that point," he said. "At this point, we're not seeing any major moves as it relates to the price of gas, but it's hard to see the price of gas really coming down from this point forward as we move into the spring, and more people are looking to get out and do things with their car. So relief I'd like to say it's coming. There might be a small movement, a cent or two week-to-week, but a major move downward [is] unlikely this time of year."
Gruba adds with the February break this week for much of Western New York and the Northeast, there could see a spike in gas demands, resulting in another increase in pump prices locally.
So what advise does Gruba have for anyone looking to save a few extra dollars this time of year?
"One is map out your route, find the shortest point from Point A to Point B. Try to avoid peak traffic times so you're not stuck in traffic idling, waiting to get to your destination, burning more fuel. And then if you can, if you're heading out and doing different things, try to combine errands into one trip so you're not going out, then back home, then out again and then back home. You're balling it all together into one trip, and saving a little bit of fuel that way as well," Gruba detailed.
