Floridians, Daytona area motorists brace for anticipated surge in gas prices (2025)

Clayton Park|The Daytona Beach News-Journal

DAYTONA BEACH — The average price for a gallon of gasoline was down slightly on Thursday morning, both for Florida as well as in the Daytona Beach area, but that is expected to soon change, say industry experts.

News overnight that Russia invaded Ukraine spurred a 6.8% surge in crude oil futures to the highest levels since August 2014, according to early Thursday morning reports, prior to the opening of the U.S. stock markets,by MarketWatch and other news outlets.

A spike in crude oil prices "will most certainly drag gas prices higher, too," wrote AAA Auto Club spokesman Mark Jenkins in his weekly report on Monday morning. "To what degree, it's still unclear."

In Port Orange, motorist Thomas Troutman was surprised to see gas prices at the Wawa gas station on the corner of Dunlawton Avenue and Yorktowne Boulevardcheaper than the last time he refueled his Toyota vehicle.

"This is a decrease from the last time I filled up where the price (at a station in South Daytona) was $3.39," the retired Port Orange city employeesaid, referring to the $3.27 a gallon price at Wawa on Thursday.

"I'm definitely concerned that prices will be going up because of the Ukraine situation," Troutman added. "Who wouldn't be?"

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Local gas prices as of Thursday morning

As of Thursday morning, the statewide average price for a gallon of regular gasoline stood at $3.484, compared with $3.487 on Wednesday, according to AAA, which compiles its daily reports on surveys ofthe last credit card purchase of the day at gas stations throughout the country.

The Daytona Beach area, which in AAA's survey consists of all of Volusia and Flagler counties, saw the average price for a gallon of regular gasoline dip to $3.454 on Thursday morning, down from $3.46on Wednesday.

The slight relief in fuel pump prices is thanks, in large part, to last week's decline in U.S. crude oil prices, which snappeda streak of eight consecutive weeks of increases. But that dip is now most certainly a temporary one, according to industry experts.

"It's hard to get too excited about the recent oil price drop, because prices could easily rebound if Russia invades Ukraine," wrote Jenkins in his report on Monday.

Gas prices were already poised for seasonal increases

Patrick DeHaan, the Chicago-based head of petroleum analysis for GasBuddy.com, wrote in his weekly report on Monday that U.S. gasoline prices were set to likely start rising in a few weeks, regardless of the situation in Ukraine, because spring marks the annual switch by U.S. refineries to producing lower emission, but more expensive, summer fuel blends. Consumer demand also typically rises during the summer travel season.

"The weeks ahead could be rather ugly with rising (gasoline) prices, especially if Russia pursues a strong-arm invasion of Ukraine," DeHaan wrote on Monday.

In a video press conference on Thursday afternoon, DeHaan said U.S. motorists could see gas price increases immediately, but added that he does not expect a dramatic sudden increase.

"I don't expect any sticker shock, that is not in the cards, yet," he said. "Gas prices will likely continue slowing increasing between now and Memorial Day."

DeHaan said the national average price for gasoline could hit $4 a gallon for regular unleaded, but added that "apocalyptic" forecasts by some that average prices could hit $6 or $7 a gallon were "very unlikely."

"We could see some relief in July and August," he added.

DeHaan added that U.S. motorists in a way have already been paying more at the fuel pump the past couple of months because of the situation in Ukraine. The reason:oil and gasoline producers had been raising wholesale prices in anticipation of Russia possibly invadingUkraine.

Because the situation in Ukraine had been brewing for quite awhile, the impact on gasoline prices now that an invasion of that country is underway is not causing as big of a sudden jump as would a major hurricane, DeHaan said.

After raising as much as 8% earlier in the day on Thursday, oil prices settled down to end the day's Wall Street trading session up only $2 per barrel, said DeHaan. Oil prices could fall fairly quickly if the situation in Ukraine were to be resolved soon, he said. Gasoline prices might be slower to decline becausegas stations set retail prices based on what they pay in wholesale costs per delivery, he said.

Another factorthat could provide some relief at the fuel pump for U.S. motorists include if President Biden were to release a large amount ofbarrels from the nation's strategic petroleum reserve. The United States remains the world's largest oil producer, averaging 11.6 million barrels per day. Russia is either the world's third or possibly second largest producer, averaging 10 million barrels per day, DeHaan said.

Some stations already hiking prices

Gas prices inDaytona Beach earlyThursday morning ranged from a low of $3.24 a gallon to $3.59 a gallon, according to GasBuddy.com, which reports fuel pump prices at individual gas stations based on motorists' reports.

Some area gas stations have already begun charging higherfuel pump prices.

The 104-pump Buc-ee's gas station/travel convenience center next to the Interstate 95/LPGA Boulevard interchange in Daytona Beach has been one of the area's cheapest places to refuel since its opening in March 2020. The competing members-only Sam's Club gas station across the streettypically offers matching prices.

On Thursday morning, Buc-ee's had already increased its price for regular gasoline to $3.24 a gallon, up from$3.19 on Tuesday. Sam's Club on Thursday morning also was charging $3.24 a gallon for regular gasoline.

Port Orange business owner Hal Spurney stopped at the Wawa gas station on the corner of Dunlawton and Yorktowne to refuel his Jeep on Thursday morning. He said he fully expects gas prices to rise in the coming days and possibly weeks, but said he is not overly concerned.

"I'm sure it will go up, but I kind of build it into my budget," he said of the anticipated increased costs to refuel the three vehicles he uses for his business, a high-tech computer service firm called New Way Technologies. The business installs computer systems for businesses as well as high-tech entertainment systems for homes.

"I believe gas will go up as the Ukraine situation situation unfolds … but when things settle down, it will probably be back (down)," he said.

Spurney, who employs five workers, said he is more concerned about rising inflation, including his labor costs, than fuel pump prices.

"Gas is not really our biggest expense. We're affected more by payroll, of course, because we're a technology company, and also our cost of goods. That's a bigger impact on us than gas," he said.

Floridians, Daytona area motorists brace for anticipated surge in gas prices (2025)

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