Photo: lehighvalleylive.com
While US fuel prices have been on the rise recently, new reports from the Energy Information Administration (EIA) say they should start falling later this year.
Based on a reportedly growing US crude oil production, the EIA predicts that the national annual average retail price for a gallon of regular gasoline will fall from $3.63 in 2012 to $3.55 in 2013, and eventually to 3.39 per gallon in 2014.
However, before gasoline prices start coming down, EIA reports that they will continue to rise over the next few months to a peak of $3.73 per gallon in May 2013. The main reasons for that are the seasonal increase in demand and the switch to more costly summer-grade gasoline.
Prices for diesel fuel are expected to fall too, but at a slower rate, from the average $3.97 per gallon in 2012, to $3.92 in 2013 and finally to $3.82 next year.
According to the same EIA report, while production of crude oil will grow with 12 percent in 2013, motor gasoline consumption will remain steady with a mere growth of 0.1 percent.
However, before gasoline prices start coming down, EIA reports that they will continue to rise over the next few months to a peak of $3.73 per gallon in May 2013. The main reasons for that are the seasonal increase in demand and the switch to more costly summer-grade gasoline.
Prices for diesel fuel are expected to fall too, but at a slower rate, from the average $3.97 per gallon in 2012, to $3.92 in 2013 and finally to $3.82 next year.
According to the same EIA report, while production of crude oil will grow with 12 percent in 2013, motor gasoline consumption will remain steady with a mere growth of 0.1 percent.
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