Lower-Emission Formulas, Demand Fuel Gas Prices

Gas prices shot up 7 cents at the pump in the last two weeks, the first such rise since early January, an oil industry analyst said Sunday.

The price increase was due mainly to seasonal demand, said analyst Trilby Lundberg.

The average price of gasoline was about $1.54 a gallon, up 7.1 cents from March 23, according to the Lundberg Survey of 8,000 stations nationwide.

Prices had fallen more than 5 cents per gallon since Jan. 15 as the winter season reduced driving and thus gasoline demand.

But demand typically begins its rise to summer travel peaks in April, Lundberg said.

Refineries also are beginning to shift production to special environmentally friendly formulas required by various states.

That, plus a routine decrease in refining capacity because of scheduled maintenance, also contributed to the price hike.

Lundberg said the hike is not related to the price of crude oil.

“Crude oil prices are virtually the same as they were two weeks ago,” she said.