May 15, 2012:

In just a week, the price of a gallon of regular gas has shot up more than 16 cents in Oregon due mostly to several refineries not in operation. The average in the state was at $4.17 on Monday, with prices at some Albany stations spiking as high as $4.29. East Coast prices have dropped 3.3 cents a gallon during the same time period, according to GasBuddy.com, which tracks gas prices in each state.

Oregon prices are 45 cents a gallon over the national average. “It’s insane,” said Marie Dodds of Oregon/Idaho AAA. “The problem is that supplies are very tight in the West. Prices went up 10 cents over the weekend.” Dodds said that typically several refineries close down in the spring and fall during the changeover from winter to summer blends. This year at least three California refineries have not yet reopened due to problems discovered during maintenance.

In addition, the Cherry Point Refinery in Washington has had a rough restart after a fire closed the plant for several weeks in February. Dodds said although the plant started back up in April, there have been a series of problems and it was shut down again May 9. GasBuddy.com listed the lowest prices in Albany at the Arco station at Queen and Pacific, where a gallon of regular was $4.03 Monday.

Dodds said the rising prices are expected to be short term, but for the next few weeks consumers should use gas-saving strategies as prices could keep going up. “Wholesale costs have skyrocketed here and that is showing up at the pumps,” she said. “I imagine that prices will still be volatile for the next few weeks and we will continue to see hikes.”  Patrick DeHaan, senior petroleum analyst for GasBuddy.com, said that between now and Memorial Day, drivers should be aware that prices are at the mercy of the refineries. “Any blip in refinery production could cause localized hot spots,” he said.

By Democratherald.com