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Gas Price Increase Expected to Hold

Posted on: Monday, 30 January 2006, 09:00 CST

By Chris Mazzolini, The Daily News, Jacksonville, N.C.

Jan. 30--The gas price roller coaster has taken another turn upward -- adding 3 cents to a national average that has already seen a 9-cent hike earlier this month. But the question remains: Will there be an exhilarating plunge toward cheaper gas or just a continued climb into the heights of fuel-price-induced madness?

Donna Porter is betting on the madness -- and some hurt being put on her pocket.

"I think (gas prices) are going to go up," she said as she filled her car at the Exxon station at the corner of N.C. 24 and Bell Fork Road last week. "It makes no sense to me."

Porter is a nurse who works for Onslow County Home Health and Hospice. As she pumped gasoline at $2.34 per gallon that afternoon, she had already put 110 miles on her car driving around the county. After filling up, she was destined to add more miles as she headed towards Sneads Ferry.

But with patients needing attention, Porter and those whose living requires travel -- extensive or otherwise -- have no choice but to make the drive and pay the price.

"It's hurting us," she said. "Some of the nurses rack up $800 to $900 a month on gas."

According to AAA's Daily Fuel Gauge Report, area gas prices-- which range from $2.30 to $2.40 per gallon -- are in line with last week's national average of $2.33 per gallon. The state average is listed at $2.35 per gallon. Compare that a month ago, when prices averaged $2.19. Or even last year at this time, when they were a seemingly impossible $1.84.

Bobby Williams, the owner of A Great Gas and Oil Co. in Jacksonville, said he sees prices staying at about the same level until summer.

"I'm seeing them staying where they are now for the foreseeable future, up until the Fourth of July weekend -- barring any unforeseen things happening," he said.

A crisis, of course, could change that prediction

According to the U.S. Energy Information Administration Short-Term Energy Outlook published earlier this month, prices are projected to increase during the next six months. The average price in January may be the lowest of the year.

On top of that, North Carolina drivers are facing a 2.8 cent addition to the state gas tax, due mostly due to the $3-plus prices caused by the storms of the last quarter of 2005.

A number of state legislators, including local Republican Rep. Robert Grady, are trying to get the tax increase repealed and capped. But Gov. Mike Easley does not want it repealed because he wants the money to fund road improvements.

All the while, Porter said people like her are paying the price.

"We have our lovely governor to thank for that," Porter said.

Tax or no, prices in the area are high. According to AAA, the lowest prices in Jacksonville are at the GoGas on South Marine Boulevard, clocking in at $2.31 per gallon for regular. Some of the highest prices are at the BP on Piney Green Road -- $2.37 per gallon. Most stations are around $2.34.

"It's ridiculous," said Megan Wahner, as she filled up her car at a BP station. "Considering it was $2.12 a week ago, and now it's $2.34. I thought it was going to keep going down."

Others were ready to forsake the driving life all together.

"I'd rather walk," said BP customer Michael Johnson. "I think its bull crap."

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Copyright (c) 2006, The Daily News, Jacksonville, N.C.

Distributed by Knight Ridder/Tribune Business News.

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Source: The Daily News

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