JACKSONVILLE, Fla. — Gas prices have hit a record high in the US and in Florida.
The average price for a gallon of gas in Florida is $4.15 today, surpassing the record $4.08 sent back in 2008 and industry experts anticipate the President’s announcement of a boycott on Russian oil imports will cause further volatility in the global market.
Russian oil only makes up about three percent of US supply, but a US boycott affects the global price of gas, which is why we’re seeing such volatility in the marketplace according to Mark Jenkins with AAA.
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“You know, it’s not just the United States. I mean there are other countries now that are also looking at bans, so that also is adding to the volatility,” said Jenkins.
Even though Jenkins said the spikes seen over the past few days were likely a reaction to the expected announcement, he anticipates further price hikes.
He predicts we should expect to see gas prices rise by 10-cents as a result of the President’s announcement Tuesday, but where it goes beyond that is anybody’s guess
“Unfortunately, there’s really no cap right now. We don’t know where oil prices are going to peak,” said Jenkins.
During his announcement, President Biden criticized the oil industry for suggesting his administration has hamstrung domestic oil production, noting there are 9,000 approved drilling permits not being used for production.
“The lease argument is a red herring,” said Gifford Briggs with the American Petroleum Institute.
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Briggs argued the administration has thrown unpredictability into the industry that has slowed the growth of domestic production.
“I mean canceling the Keystone pipeline. We just had regulations come out reversing years of how we approve pipelines. All of these steps by the administration give the industry pause,” said Briggs.
Politics aside, for everyday Floridians like Millie Martin, higher gas prices will mean less money for other needs.
“So, it impacts me a whole lot too because I have to drive different places to get to work. So, hey I’ve got to cut back on my snacks,” said Martin.
To help combat gas price hikes the Biden Administration announced it would be releasing 60 million barrels of oil from the county’s strategic reserves, although Jenkins noted similar actions in the past have done little to reduce prices at the pump.