Detroit, Michigan – The cost of gasoline has jumped 7 cents in just the past week in a clear pattern whereby wallet strings are tightening across Michigan. Regular unleaded gasoline currently averages $3.10 a gallon, as reported by AAA-The Auto Club Group on Monday.
Although it stays 12 cents lower than last year, this latest increase puts the cost of fuel 3Â cents more than it was a month ago. AAA claims that the average motorist is dishing out roughly $46 to cover a 15-gallon tank.
Variations in demand and supply help to explain the changes in gas prices. From 8.30 million barrels daily to 8.32 million, recent Energy Information Administration (EIA) statistics shows a minor rise in gasoline consumption. Though the overall domestic gasoline supply has increased—from 248.9 million barrels to 251.1 million—gasoline output has dropped, averaging roughly 9.2 million barrels daily.
The situation of U.S. crude oil stocks, which rose 8.7 million barrels during the past week, further complicates the economic terrain. Still roughly 5% below the five-year average for this early in February, current stocks at 423.8 million barrels point to a tighter oil market than normal.
“Motorists across Michigan are seeing higher prices at the pump compared to this time last week,” said Adrienne Woodland, AAA’s spokesperson, in the release.
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Metro Detroit ($3.15), Ann Arbor ($3.14), and Jackson ($3.08) had the most expensive gas price averages according to the report. On the other hand, Benton Harbor ($3.05), Traverse City ($3.04), and Marquette ($3.03) had the least expensive averages.
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Along with these local variations, the national average price of gasoline has also been recorded at $3.62 per gallon, same from last report.
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As Michigan residents navigate these rising costs, the broader implications for commuting and consumer spending continue to unfold. Motorists would have to get ready for increased volatility in fuel prices as the year goes on since the EIA figures point to both demand increases and a changing supply scene.