Gas prices on the rise as more vehicles hit the roads

A gallon of regular unleaded is going to run you anywhere from about $2.75 to a little over $3 bucks a gallon.

LINCOLN, Neb. (KLKN) – How about those gas prices? They’re higher than normal if you haven’t noticed already.

A gallon of regular unleaded gas is going to run you anywhere from about $2.75 to a little over $3 bucks a gallon. But why are gas prices high right now? Officials say there are multiple reasons.

First, they say weather events in Texas have slowed down production and caused short term effects on our gas prices here in Nebraska. But they say there is another powerful reason why you’re paying more at the pump.

“As demand normalizes, as more people drive to work rather than working from home, as more people travel, then we would expect to see prices go back to where they were before the pandemic,” Eric Thompson, an Economics Professor at the University of Nebraska-Lincoln said.

The anticipation that the economy and driving patterns will return to pre-pandemic levels is driving those gas prices right up, a much different scenario then what we witnessed last March.

“Back when the pandemic started, demand just fell through the floor and stockpiles were high and so the prices just absolutely tanked,” Mark Whitehead, the President of Whitehead Oil Company said.

But if you’re not a fan of the higher prices, you better buckle up. Officials are estimating the price of gas could become even more expensive in the coming months.

“Confidence in the future of what’s going to happen with liquid fuels moving forward is playing a small part in that as well,” Whitehead said. “And that the current administration has cancelled the Key Stone Pipeline, which directly effects crude oil that’s used to refine the product we sell through our stores.”

Categories: Nebraska News, News