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Despite popular opinion, the price at the local pump is based solely upon neither the cost of crude oil, nor the annual bonuses of oil tycoon bigwigs. Rather, while these two factors do play a role, events local, national, and even worldwide can also bring changes which will either hurt or help your wallet. The following article features a look at the future of 2013 which may see those fickle numbers of Utah Gas pricing either moving up or down in the coming months.
Supply and demand are one of the most important factors of the oil industry, and the spring/summer time which has appeared with the budding greens in Utah means a lot more people are wanting to travel around the great outdoors. This means more cars, and more gasoline consumption than any other time of the year. Like most summers, consumers should expect their gas prices to increase in the coming weeks; a trend which most locals are begrudgingly, gradually getting more used to. So far, with stocks steadily rising and the economy appearing to be on the mend, prices feel pretty stable, but one shouldn’t get their hopes too high. Some experts are warning that problems with restarting refineries could lead to tiptoeing increases in the coming weeks. Overconfidence in the industry may also lead to uninhibited consumption or other problems down the road if people aren’t careful. Things seem to be going well so far, with prices averaging 22.1 cents lower than they were a year ago from this last Sunday, but it’s still too early to claim that these lower prices are here to stay.
Case and point, many states are already betting on the recently proposed national Internet Sales Tax, to help them lower their State Gas Tax. Lawmakers seem to already be salivating over the revenue which the Sales Tax would provide for transportation costs, with states like Virginia and Maryland passing bills to utilize the expected $23 billion a year. Likewise, should the concerned bill, labeled The Marketplace Fairness Act, eventually pass, even states which are more cautionary to the bill such as Utah and California, could possibly see a lowering of gas prices, depending on how they use their newly christened assets. If nothing else, the ripple effect from nearby states and the national average will likely have some affect on car owners; perhaps a happy change from what they have become used to over the past century of hiking prices.
It is important to remember, however, that should the proposed bill not be passed, states which have already approved billing of such resources will have to get their money from somewhere, and car drivers as far as Utah will likely feel the effects of governments reaching deep into their pockets for loose change. Used cars on lots may once again pile up, as some states will be forced to increase gas taxes in order to pay their debts, boomeranging back to the age of recession which Americans are not quick to forget. In one way or another, the Marketplace Fairness Act is poised to affect the economy, and very likely the price of gas throughout the nation along the way.
Gas Prices in Utah and elsewhere are constantly changing and interacting with one another. Changes in government policies, numbers of cars on the road, and even natural disasters can mean the difference between $3 and 4$ a gallon. The future is unpredictable, but so far the skies appear sunny for relatively stable gas prices this year. As far as we can see, summer should be an enjoyable, so long as the economy does not abruptly break down like a used car that’s run out of gas.
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