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AAA Reports Higher Gas Prices Since Start of 2017

AAA South Dakota

A report by AAA  shows regular gas prices in South Dakota have increased an average of eight cents since the start of 2017.

Officials say the nationwide average of around $2.35 is the highest New Year’s price since 2014.

Marilyn Buskohl with AAA South Dakota says one week ago, regular gas prices across South Dakota were fifteen cents lower than they are now.

She says the spike in prices is largely due to OPEC countries cutting down oil production levels.

Buskohl says refinery issues in the central part of the U.S. are posing problems for Midwest drivers as well.   

“Last week Minnesota also had a seven cent increase, week over week, South Dakota’s was eight cents but Minnesota’s was seven cents, and it seems like these Midwestern states get hit kind of hard and most of the time it’s because of transportation costs, just how much it costs to get fuel to South Dakota,” says Buskohl.

Buskohl says she doesn’t expect gas prices to reach as high as the 2008-2009 season when gas rose to over $4.00 a gallon.

She says the volatile market makes it hard to predict future gas prices, but they traditionally increase for the summer starting in April.