With gasoline prices surging across the country and showing few signs of slowing in any major way, a new Gasoline Misery Index report concludes Wisconsin residents will spend at least $709 more this year than they did last year in gas costs.
Metro Business Daily's "Gasoline Misery" Index tracks how much more (or less) the average American consumer will have to spend on gasoline on an annual basis. The Index shows the average American will spend an average of $704 more this year than they did last year, according to Metro Business Daily.
The index is compiled from gas price data from the American Automobile Association (AAA), average fuel efficiency (mpg) data from the U.S. Department of Energy, and average miles driven from MetroMile.com
“Expect prices at the pump to fall maybe a penny every day or two,” Patrick De Haan, head of petroleum analysis at GasBuddy, told CNBC. “We could see the national average price of gasoline fall back under $4 a gallon in the few weeks ahead. Diesel should fall back under $5 a gallon nationally, as well.”
With inflation rates across the country also the highest they’ve been in the last four decades, the Biden administration on April 1, moved to address the growing crisis by announcing in a video posted to YouTube that the government will release 1 million barrels of oil per day from the nation’s strategic reserves to serve as bridge until the end of the year.
“Oil prices fell last week as COVID cases in China surged, prompting restrictions on movements and hurting oil demand,” the Gasoline Misery Index report added. “Meanwhile, President Biden’s announcement that the U.S. would be releasing 180 million barrels from the Strategic Petroleum Reserve caused an even further decline in oil, leading gas prices in nearly all areas of the country to fall over the last week.”
With the national average for a gallon of gas still standing at $4.22 per gallon, AAA warns the worse of the crisis may still not be over.
“The global oil market remains highly volatile, so additional news that threatens supply could put upward pressure on oil prices,” the group said.
According to the U.S. Energy Information Administration (EIA), since January 2021 the national average price per gallon of gasoline has jumped by 80 percent from its price back then of $2.33. In a number now known as the “Biden Misery Index,” Americans are also now spending an average of $992 more per year since he took over in the White House.