Gas prices around the globe are expected to increase steadily over the remainder of the summer, but won’t return rates in Alaska to previous highs, according to one Alaska oil and gas analyst.
Last year, gas prices in Alaska peaked in late June at $5.609 per gallon, almost $1.30 higher than the current average of $4.338.
“You’ve had supply cutbacks from some key nations and not enough new supply to overcome that and the demand has been stronger in the U.S. and in China than had been expected,” Persily said. “So there is a growing imbalance between supply and demand. And what’s driving prices higher for crude oil is the expectation that that supply-demand imbalance will get worse as the year goes on.”
“Smaller communities, particularly ones where the fuel has to be barged or flown in, smaller communities that don’t have that much volume, whether it’s in Bush Alaska, in Southeast, always pay substantially more than Anchorage,” Persily said.
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