Drivers may be bracing for more pain at the pump in 2011 as gas prices continue to head higher.
The price for a gallon of gas has risen 3% over the past 10 days and last week, prices crossed the $3 mark for the first time since October 2008. At $3.071 a gallon, gas prices are still 34% below their peak of $4.114 set in July 2008.
Still, former Shell Oil president recently said drivers could be paying $5 for a gallon of gas by 2012 as the global demand for oil increases. And that’s no joke.
As for $5 gas in 2012?
Overall, Americans are expected to wind up spending a total of $35.8 billion on gas this December, according to the Oil Price Information Service. That’s up 17% from last year.
Air fares on the rise: Consumers may also feel the squeeze when it comes to booking a flight.
Airlines are beginning to raise ticket prices, citing higher fuel costs among other factors. Several airlines have already increased one-way ticket prices by $10 in the last week.
JetBlue has also hiked fares but says it’s not just fuel driven.
Delta, United, Continental, and U.S. Airways have also increased their fares to match rising costs.
Southwest Airlines has no current plans to raise fares but is keeping a close watch on oil prices, said Southwest spokesperson Marilee McInnis.
(Source: CNN Money)
3 Responses
Let’s all give a big round of applause to the Liberal core of the Democratic party that continue to push a hardcore environmental agenda which prohibits virtually all progress on the energy front and therefore directly causes our energy prices to rise.
And lets not forget that in virtually every state in the Union the Federal Government makes more of a profit on each gallon of gas the the oil company that produces it!
How about a windfall tax on the government?
The funny thing is that even before he became president, Obama said that he wants to raise gas prices, but slowly, so that people shouldn’t complain.
so u mean to those prices are here to stay?? i noticed the rise and im like waiting for it to go back down! its bankrupting me!!! $5 a gallon??? i might as well just sell my car!! it wld cost $120 to fill the tank or more!!