Gas Price Up to Start the New Year

Written by Brady    Wednesday, 11 January 2012 13:56

Gas prices have been on the rise to start out 2012. 2011 ended with prices averaging $3.25 a gallon. The average has steadily increased over the last 2 weeks to reach $3.36. The reason for the quick jump after a long stretch of decreasing prices is the tensions building with Iran. Iran recently threatened to close the Strait of Hormoz which is a critical pathway for a considerable part of the world's oil supply to pass. This quick jump should serve as caution that if something major happened with this situation that gas prices could skyrocket back to the peaks we saw in the spring of 2011.

Alaska is the only state that has a statewide average over $4. There are 4 states that have an average under $3 which are Utah, Wyoming, Colorado, and New Mexico. South Carolina slid down to the 12th spot for cheapest gas in the country. This was a big move considering it is normally in the top 5.  At $2.83 a gallon, Salt Lake City, Utah currently holds the crown for the city with the cheapest gas prices. The highest pices are found in Honolulu, HI with a local average price of $3.89.