Automotive Insider

What will gas prices be like in the summer of 2010?

Americans love to travel in the summer months, with kids being out of school and vacations regularly taken when one can swim, hike and engage in the warm weather activities. Trying to predict what gasoline prices will be like in the summer is an ongoing game, especially given the unpredictable and incredibly high prices shown in the summers of the past few years. Too high at the pump, and a vacation with a car or RV might be out of the question altogether.

It appears however, that despite economic hardship in other sectors continuing through the end of the year, gas prices are predicted to hold near their current levels. The U.S. Energy Information Administration says that retail distribution and taxes are stable, with few fluctuations in crude oil prices expected for the summer months. That said, prices (as always) are higher in Alaska and Hawaii, and predicted prices may hover around the $2.95 for most markets. Some areas may see prices surge to over $3.00 per gallon, but competition among sellers will see those prices go under the $3.00 mark quickly. Expect around a $7.50 increase per 15 gallon tank on a fill-up, with prices coming down again in the fall.

There are always the parties that are a bit harsher on the economic outlook. Some sectors foresee much higher volatility in the oil producing regions, leading to predictions that the price of gas per barrel is going to be especially high this summer, which of course will translate to much higher prices at the pump for the consumer, perhaps up to $5.00 or $5.50.

Perhaps a median of these two outlooks will provide an accurate prediction: $4.00 a gallon this summer, with prices coming back down in the fall.