Automotive Fleet
MenuMENU
SearchSEARCH

Higher Gasoline Pump Prices on the Horizon

WASHINGTON, D.C. — U.S. drivers — who are already paying the highest retail gasoline prices on record — should expect further gasoline price increases due to skyrocketing costs for crude oil and a flurry of recent refinery problems.

by Staff
August 16, 2005
3 min to read


WASHINGTON, D.C. — U.S. drivers — who are already paying the highest retail gasoline prices on record — should expect further gasoline price increases due to skyrocketing costs for crude oil and a flurry of recent refinery problems, according to several sources, including AAA, and the federal Energy Information Administration (EIA), and Reuters. Prices at the pumps are already at a record near $2.40 a gallon on average, up more than a dime from last month, according to a AAA daily survey of 60,000 stations. But a recent surge in the cost of crude oil to $66 a barrel and problems at the nation’s refineries will cause further steep increases in fuel prices. Around 10 U.S. refineries have reported unplanned unit shutdowns since mid-July. Refineries typi-cally become more prone to outages in late-summer as they try to keep up with strong demand. While U.S. retail gasoline prices are at a record in nominal terms, when adjusted for inflation they remain below the peak of around $3 a gallon in the early 1980s. The EIA said that retail gasoline prices will average above $2.10 a gallon on a monthly basis through 2006, while truckers will face average diesel fuel costs over $2.20. Its forecast is based on the price for U.S. crude oil staying above $55 a barrel during the same period. The price for crude, which has recently hit another record high of over $64, accounts for about half the cost of making gasoline and diesel fuel. Over the next few weeks, the EIA said a recent 21-cent rise in gasoline spot prices will be passed on to consumers at the retail level. So far, only about 8 cents of that increase has made it into the pump price. The agency said that after the Labor Day holiday in early September, gasoline prices often decline as fuel demand drops when people go back to work and school. However, the EIA warned that with a government forecast of an active hurricane season this year, gasoline prices “could continue to surge” beyond Labor Day if a major storm disrupts supplies in the Gulf of Mexico or more oil refinery outages occur. As rising fuel demand strains U.S. refinery capacity and concerns about supplies in the Middle East, crude oil prices have risen to record levels. No new refineries have been built in the U.S. in almost 30 years, and domestic refineries have operated at more than 90 percent of capacity since March to meet demand for transport fuels and boost supplies of heating oil before the fourth-quarter consumption spike. Refining capacity is now in question. ExxonMobil shut its Joliet, Ill., refinery July 30 because of a water-cooling system failure. BP closed a unit at its Texas City, Texas, refinery July 31 for maintenance. The plant also suffered an explosion and fire last month, the second since March. Valero has suggested it may reduce fuel output due to the Congress’s failure to include a liability provision regarding fuel additive MTBE in the recent energy bill.

More Fuel

title card with Ramel Lindsay, US Bank, and Chris Brown
Sponsoredby Chris BrownJuly 22, 2026

Turning Fleet Payment Data into Executive Insights

Ramel Lindsay of U.S. Bank Voyager discusses how fleets can transform payment and transaction data into actionable intelligence to reduce costs, improve oversight, and support executive decision-making.

Read More →
fuel pump and rising price graph
Fuelby Chris BrownJuly 21, 2026

Why the IRS Raised Its Mileage Rate in the Middle of 2026

Fuel-price volatility drove the rare increase to 76 cents per mile, the fifth midyear adjustment since 2000.

Read More →
Graphic showing U.S. gasoline prices as of July 27, 2026, with the national average at $4.06 per gallon. Regional prices range from $3.69 on the Gulf Coast to $5.12 on the West Coast.
Fuelby Faith HowellJuly 14, 2026

July Fuel Update: Prices Keep Rising in Light of More Conflict

Gas prices continue to rise as more and more conflicts do, too.

Read More →
Ad Loading...
An Automotive Fleet podcast thumbnail on fuel volatility.
FuelJune 30, 2026

Bob Adamsky on Fuel Volatility: "Don't Panic, Have a Plan."

When it comes to up and down fuel prices, Adamsky has a message for fleets: “Don’t panic.”

Read More →
A blue, orange, and black graphic with Chris Brown and Ramel Lindsay.
Sponsoredby Chris BrownJune 29, 2026

How Fleets Can Gain Control of Non-Fuel Spend

Fuel often gets the spotlight, but non-fuel expenses can have a major impact on fleet costs. Ramel Lindsay of U.S. Bank Voyager discusses how fleets can gain better visibility and control over these often-overlooked expenditures.

Read More →
Map of the Middle East beside fuel pump nozzles illustrating how regional supply disruptions are increasing fuel prices and raising fleet maintenance costs for petroleum-based products.
FuelJune 25, 2026

Fuel is Just the Start: How Middle East Tensions are Driving Up Fleet Maintenance Costs

The Middle East conflict is doing more than pushing up fuel prices. It’s also raising the cost of key maintenance products your fleet depends on, from motor oil to tires to windshield wipers. Here’s what you need to know about this budget-busting situation.

Read More →
Ad Loading...
Infographic showing U.S. average gasoline prices through June 2026, with prices falling after a May peak. Regional chart shows the West Coast with the highest fuel prices among major U.S. regions.
Fuelby Faith HowellJune 23, 2026

June Fuel Update: Prices Fall Below $4

Drivers are finally getting some relief at the pump. The national average gas price has dropped below $4 a gallon for the first time in months, with prices falling in 47 states as oil markets react to developments in U.S.-Iran negotiations.

Read More →
Row of fuel nozzles at gas station
Fuelby Chris BrownMay 30, 2026

Study: How 2026's Gas Price Hikes Affect Different Vehicle Types

New data from iSeeCars reveals how rising fuel costs have affected different vehicle segments as gasoline prices climbed nearly 46% over the past four months.

Read More →
fleetio coast pay
SponsoredMay 29, 2026

Are You Tracking Your Fleet's True Total Cost of Ownership?

Bobit Business Media surveyed 190 fleet professionals and found that while most fleets are tracking costs, fragmented systems and data gaps are keeping true TCO visibility out of reach. With rising pressure to control spend in an increasingly volatile environment, the gap between what fleets think they know and what the data actually shows is wider than you might expect. See how your peers are managing costs today and where the industry still has room to improve.

Read More →
Ad Loading...
An EIA and Automotive Fleet graphic breaks down fuel prices for the week of 5/28/2026.
Fuelby Faith HowellMay 5, 2026

May Fuel Update: All Regions Experience Declines

Gas prices are finally easing in much of the country, but experts warn global tensions could quickly reverse the trend as the national average remains well above last month’s levels.

Read More →