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U.S. regions see gasoline prices spike

Jan. 29, 2013 at 6:58 AM   |   Comments

WASHINGTON, Jan. 29 (UPI) -- U.S. motor group AAA reports that retail gasoline prices are 7 cents higher than one month ago, with the East Coast and Midwest seeing the highest prices.

AAA reports that U.S. commuters Tuesday could expect to pay, on average, $3.36 for a gallon of regular unleaded gasoline. That's 7 cents higher than the national average one month ago but 6 cents lower than the same time last year.

Drivers in New York City paid $3.83 for a gallon of regular unleaded Tuesday. Gasoline prices for the East Coast spiked after superstorm Sandy hit the region in late 2012.

For Chicago, commuters Tuesday paid around $3.60 for a gallon of regular unleaded, the motor group reports.

AAA Nebraska spokeswoman Rose White said the gasoline price increase in the Midwest was in part because of higher demand for crude oil from Canada, the Lincoln (Neb.) Journal Star reports.

Pipeline companies in the United States and Canada have moved to either reverse existing pipeline networks, like the Seaway pipeline, or build new ones, like Keystone XL, to ease the bottleneck at a storage hub in Cushing, Okla. The Nebraska report said that move leaves the Midwest without its normal refinery supplies, which it said may explain gasoline price spikes in the region.

Nebraskans paid about $3.34 for a gallon of regular unleaded gasoline Tuesday, up 14 cents compared to last month.

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