Analysts: Price hike coming at the pump - WNEM TV 5

Analysts: Price hike coming at the pump

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MICHIGAN, (WNEM) -

Drivers may be doing a double take at the pump in the next week as Gasbuddy.com reports gas prices in the Midwest could begin to spike.

According to the site’s analysts, refiners are shutting down for maintenance or unplanned repairs, crimping gasoline supply.

“If I was paid every time I mentioned a refinery issue, I could have retired years ago,” said Patrick DeHaan, senior petroleum analyst for GasBuddy.com. “The fact of the matter is the nation’s refineries aren’t getting any younger. With falling gasoline demand, refiners tend to use these situations to perform maintenance. In some cases they’ve been working on resolving unplanned issues. Currently some of the region’s largest contributors to gasoline supply are seeing some of their capacity temporarily reduced as they carry out this work.”

Twelve refiners in the region are currently undergoing work: three in Illinois and Ohio, two in Minnesota, and one in Indiana, Kansas, Oklahoma and Kentucky. The work may last several weeks or longer. That will lead to prices at the pump rising as much as 10-30 cents per gallon over the next week in a handful of states, including Michigan.

But Gasbuddy.com is optimist. Saying that while the higher prices may stick around for a few weeks, they’ll remain far below their summer peak price.

It is also widely expected that over the next several weeks, refiners will finish seasonal planned work and resolve unplanned shutdowns.

Analysts say that in turn should lead to prices falling as we near Thanksgiving.

Track gas prices in your area here.

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