NC gas prices hit the biggest increase in seven years

RALEIGH, NC – The tough race continues for prices at the pump.

AAA reported the largest annual increase in the price of gas in North Carolina in seven years.

According to AAA, in 2021, gas prices started at a low of $ 2.10 per gallon.

By October, prices had climbed to an average of $ 3.25 per gallon.

The North Carolina state average fell 2 cents over the past two weeks, averaging $ 3.07 a gallon last weekend.

“The pandemic has caused a roller coaster ride for prices at the pump,” said Tiffany Wright, spokesperson for the AAA. “Gas prices fell in 2020 when the shutdowns led to a drop in demand for fuel, causing a glut in the global fuel supply. As a result, many countries reduced their production of crude, leaving the market vulnerable to what would happen next. In 2021, vaccinations were launched and demand returned much faster than oil production, causing fuel prices to skyrocket to levels not seen in seven years. “

Wright did not mention other factors of fuel price volatility, such as the change in presidential administration. Drivers benefited from gas prices below $ 2 a gallon under Donald Trump’s administration, but when Joe Biden took office, the country’s energy policies changed dramatically.

For example, Biden canceled the license for the Keystone XL pipeline and the project was finally halted in June after Canadian authorities failed to persuade Biden to cancel the cancellation of his license on the day he entered. active.

The pipeline would have transported crude oil from the oil sands fields of western Canada to Steele City, Nebraska.

Construction of the 1,200-mile pipeline began in 2020 when Trump relaunched the long-delayed project after it was stalled under the Obama administration. It is said to have moved up to 830,000 barrels of crude per day, connecting in Nebraska to other pipelines that supply oil refineries on the US coast of the Gulf of Mexico.

Biden canceled it in January, citing concerns about environmental damage.

AAA expects higher gas prices to hold for much of the year.

“For now, it looks like these higher gas prices will last until 2022,” Wright continued. “Motorists should expect continued volatility at the pumps, as prices are likely to fluctuate, depending on news about the pandemic and its implications for global supply and demand.”

Copyright © 2022 ABC11-WTVD-TV / DT. All rights reserved – The Associated Press contributed to this report.

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