Ohio’s average gas price soared to an average of $3.93 a gallon Thursday, June 6, 2013, mainly thanks to tight supplies amid planned and unplanned upsets at regional refineries, according to AAA.
Historically speaking, gas prices tend to reach their highest point of the year during the spring due to several factors:
- The seasonal switch from the less expensive winter-blend gasoline to the more expensive summer-blend gasoline.
- Increased demand due to the start of summer driving season.
- Refinery maintenance, which takes place during the seasonal switch.
Ohio gets most of its gasoline from the Chicago spot market, which is known to be extremely volatile and prone to dramatic price swings.
This spring the Chicago spot market has experienced an unusually heavy refinery maintenance schedule, which has led to tight supplies throughout the Great Lakes region. Last week, the region’s refining capacity dropped to a three-year low.
The two main refineries that have been off line include:
- BP – Witing, IN: This refinery has been undergoing a massive modernization project. The project was scheduled to be completed in Feb., but in April BP announced that the completion date had been pushed back until the middle of 2013. The market is now anticipating the project’s completion and a restart of the refinery at any time.
- Exxon Mobil – Joliet, IL: This refinery kicked off a major turnaround in April and is expected to restart any time. However, trade sources warn that it could be a slow process and glitches are possible along the way.
Successful restarts of these refineries should help to ease supply concerns in the region, which would lead to lower gas prices. However, the AAA says it is difficult to say when that will occur.
For daily gas price averages and comparison charts, visit FuelGaugeReport.AAA.com.
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