Gas prices have reached a 6-month high. Here’s why.

A year ago, you might have seen prices like these at the gas pump. So while Florida's average price of $2.19 is higher than it's been in months, this was the cheapest Labor Day for gas in 16 years.
A year ago, you might have seen prices like these at the gas pump. So while Florida's average price of $2.19 is higher than it's been in months, this was the cheapest Labor Day for gas in 16 years. (Copyright 2019 The Associated Press. All rights reserved)

FORT LAUDERDALE, Fla. – Florida’s gas prices are at their highest since March, jumping an average of 13 cents early last week, according to the American Automobile Association.

Why the sudden rise?

“Florida drivers are now feeling the effects of Hurricane Laura, which made landfall in Louisiana nearly two weeks ago,” AAA spokesman Mark Jenkins says. “Wholesale prices shot up because the storm affected refineries in the region. It took several days, but retailers eventually raised retail prices as a result of the added cost.”

While the price at the pump feels higher than what we’ve gotten used to during the pandemic, Florida’s average price of $2.19 for a gallon of regular unleaded gasoline was the state’s lowest Labor Day price in 16 years.

A year ago, Floridians were paying an average of $2.43 for that same gallon of regular unleaded, according to AAA.

We can expect the prices to lower some from where they are now, though there could be more spikes in the coming months, Jenkins says.

“Florida gas prices should begin to trickle down this week,” he said. “Labor Day traditionally marks the last big travel weekend of the summer, which leads to lower gasoline demand during the fall. However, demand was already unseasonably low this summer, due to the pandemic. While pump prices should remain low, it’s possible that some volatility continues in the coming months.”


About the Author: