Gas Price Forecast: Slow Decline Ahead

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(WLNS) – After seeing prices at the gas pump climb during the first three months of the year there may be some relief coming.

According to price monitoring website GasBuddy.com, prices may have already seen the 2015 peak and a slow decline nationwide should begin in the three months ending July 1. “Once refineries complete their scheduled maintenance seasons and switch to summer formulations is complete, their output typically increases,” said Patrick DeHaan, senior petroleum analyst at GasBuddy. “Barring any unforeseen events –like refinery breakdowns or hurricanes- current supply & demand fundamentals could put more downward pressure on retail prices even during the summer driving season.”

That’s good news for drivers in the Midwest where Great Lakes states saw prices climb due to refinery problems early in the year. GasBuddy forecasts the national average price of gas during the next three months to be:

April: $2.25 to $2.45

May: $2.20 to $2.40

June: $2.15 to $2.35

In past years the price of gas generally rises during the summer months. Now high supplies of oil are available and supply is outpacing demand. According to GasBuddy analysts, major petroleum producers in the United States and OPEC are unwilling to cut output.

Currently prices at the pump in Michigan are averaging $1.10 less per gallon this year versus last year.

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