Gas price costing below $2 is getting increasingly difficult to find throughout the West Michigan area. One analyst expects gas prices to stay above $2 for quite some time.
GasBuddy.com said gas prices are increasing Tuesday around the Grand Rapids metropolitan area. They’re expected to move higher by 27 cents to $2.35, more or less, even as it already averaged 15 cents more from a week ago. Majority of Speedway stations have already increased their pump prices.
GasBuddy has been taking a close look at gas prices since January. GasBuddy senior senior petroleum analyst Gregg Laskoski noted, “We’re seeing wholesale gas prices go up significantly right now, and there’s no question that retail gas prices also will be rising. Overall, we’ve been watching sharp increases since mid-January.”
AAA says gas prices usually begins its upward march during the month of February when oil refineries get maintained and production decreases. The average gas price could advance by approximately 30 cents, nationwide, through the spring season.
Gas prices for the Grand Rapids area have been lower compared to the national average for a big part of December and January, and have risen since.
Laskoski went on to say that, “There’s no question that the timing of all these factors is what really drives the extent of retail price increases. This is what we see happening during the first quarter of every year. I would say it’s going to be less common to find gas at sub-$2 prices right now through the next several weeks.”
Grand Rapids is Michigan’s second-largest city and an important manufacturing hub. Five of the world’s leading office furniture companies as well as major companies such as Amway, Steelcase, and Meijer consider it home. With over 1.3 million residents (data as of 2006), the Grand Rapids metropolitan area in Western Michigan is considered the fastest-growing metro area in the entire state of Michigan.