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David Holt (CEA, Summer Gas Prices)

Apr 20, 2017|

David Holt (CEA, Summer Gas Prices) by The Financial Exchange

Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

We'll gasoline prices are going up that is the opinion and the prediction of our next guest mr. David holt he is the president of the consumer energy alliance. Talking to us about summer gas price I don't David. Hey guys sorry all. Good good so first of all we want to try to pin you down on your prediction. Wind will gasoline prices go up by 23 cents. Well Allen have all pushed back over at first I thought that it was the energy information administration's prediction that gasoline prices will go a little bit but it's not out of line with what many other people are saying. It'll probably start occurring around the summer drive times seasoned and you know work out. In a way almost due for a little bit about taken in gasoline and energy prices but. Are all of a hole because of the US energy revolution that were meeting somebody much or energy needs here at home with homegrown energy needs. Gasoline and energy prices are still historically low. And consumers over what they're pagan point thirteen point fourteen are still paying a lot less and will continue to pay a lot left the puppies in the summer after they go up slope that. Why they changed so much based on region that get even within our state it like we have this in New England. You know some states are a lot less expensive than others. Even with the in Massachusetts I've noticed upon buying gasoline down in Bridgewater. It's twenty cents cheaper than it is anywhere in the Boston area saw. What what causes all these. Do little situation fluctuations you know that's that's a great question did varies there's there's multi layers one. They're different federal requirement for fuel blending in different regions of the country. So in order to meet emission reduction and clean hair different parts of the country have different. Different you'll bulletins because a temperature and other reasons different states have different taxes on diesel and gasoline. And then you have transportation distribution costs and usually when you get into the inner city it's a little more expensive to get the fuel. To that location and so there's a little bit of a premium you pay because it's it's more expensive to get it there. And then you have you know competition because it's it's a pretty competitive market. You can count you usually see gasoline stations Erica located across the street from each other economic and watched as prices go down or go up just a little bit based on you know what be that individual. Store owner. Feel like bacon they can charge in what profit they're trying to make all that gal gasoline at that time. Didn't California just pit pass a big gas tax increase. They did they did and you know California to a higher taxes on gasoline in the nation new Jersey's a very high tax on gasoline but the other issue on the electricity side. You know more and more of our electricity is met with natural gas right after got beat pipelines to get to the to market in in the region were sold so Massachusetts you mentioned that Connecticut. That's juice and Connecticut are currently paid 60% more than the national average. For electricity. Largely because they're not allowing the infrastructure to build the pipeline to bring the natural gas to market. Is to have adequate supply to meet their energy needs so that's about the big problem ought to get worse. Is that because of our own states or neighboring states. It's largely because of what's occurring in the state of Massachusetts and and restricting. Restricting the ability to kind of build it construct expand the current Mike wants. Neo Nazis it's it's a tragedy because we are they you know you look at the cost of our electricity. And it really tense despite in the summer you know we end up paying huge I remember last year getting to some outrageous. Bills because it was hot summer you run in the air conditioning you have to do you wanna try to sleep and. Got you know and in states like they Pennsylvania for example being the average household is now paying about 2000 dollars less. Per year for electricity. But the state of Massachusetts likely that the massachusetts' own state policies saying. But 2000 dollar more you know a year or electricity so you see that in the the up tick in gasoline vehicle but the electricity issue because and after gases is on the top of the state need to get at a. Right any suggestions on what we can do to consume less gasoline. You know it's either covered up and now we always wanna get behind the wheel it's kind of Leo American right you know it's one of the things we like to do but you know simple things like. People are tired properly inflated dull dull. Billiard ball up with a budget joke not speaker you know the weighted Jakarta normal. Normal wobble. Roll your windows up things like that don't Jack rabbit start stop none will really allow your car in you'd be more efficient. You'll use less fuel you get more out of a gallon gasoline and and below that book money back your pocket. Love love David thank you very much for your time we appreciate. David holt credit president of the consumer energy alliance. So we're gonna AM rising gas prices just in time for summer while you look at their. It's really not that bad historically we actually been paying probably a little bit less than we should have based on the there were catching up to probably worse going to be but I would say to thirties to fifties probably area that we're gonna settlement the near future.