All-Time High Gas Prices
As of March 23rd, the national average price for a gallon of gas in the U.S. is $4.24, according to AAA.
March 25, 2022
Each day gas prices continue to climb higher. Though many may assume it’s caused by the Russian invasion of Ukraine, only about 3.3% of U.S. gas actually comes from Russian exports according to the U.S. Energy Information Administration.
The U.S. and Russia are both in the top three of oil producers in the world, though, more than half of U.S. oil and petroleum imports come from Canada. Researchers and experts verified that the United States doesn’t have to import Russian oil for it to affect prices in the states. That is because the price of oil is set at a global level, meaning any supply disruptions or nervousness anywhere cause the price to go up. The national average gas price was $4.25 per gallon on Sunday, the 20th of March.
“While we do produce an enormous amount of oil on a volumetric basis, that we consume we are also sending a lot of oil overseas, and we are also importing. But it’s important to note that we actually haven’t seen a supply disruption. Right now, what we’re seeing happen in the oil markets is nervousness around a potential supply disruption,” Sasha Mackler said, who directs the Energy Project at the Bipartisan Policy Center.
Maryland passed a gas tax holiday for 30 days starting Friday, ending April 16, becoming the first state to enact such a suspension. The move to lift the 36-cent-per-gallon tax was signed by Governor Larry Hogan who had advocated for a longer suspension. Maryland gas prices decreased to an average of $3.86 on Sunday. “This is, of course, not a cure-all, and market instability will continue to lead to fluctuations in prices, ” Hogan said in a release.
Georgia Governor Brian Kemp also signed a bill temporarily halting the state’s gas tax through the end of May. The law went into effect Friday and is in effect until May 31. The state is suspending its roughly $0.29 cent tax per gallon on regular fuel and $0.32 cent tax on diesel. Georgia’s average gas price on Sunday was $4.14, according to AAA, a public service of the United States of America’s motoring and leisure travel membership organization.
Oil industry experts say the war in Ukraine and the U.S. and European sanctions on Russia will likely keep gas prices high. Though, the war in Ukraine and the U.S. and European sanctions on Russia aren’t just to blame, as inflation has also played a key role. Former U.S. ambassador Luis Moreno tweeted, “Maybe it’s because I spent three decades overseas representing my country, but I never cease to be amazed at how insulated so many Americans are,” he wrote. “Inflation, high crude oil prices are global issues, not just American ones.”
