More pain at the pump

POST FALLS - Something stinks, Ned Moore says.

And it's all about gas.

When the Post Falls man filled up his truck on Thursday, he couldn't help but to be riled.

Local gas prices have reached record highs for this time of year with the average of $3.38 per gallon in Coeur d'Alene and the state and a nickel more in Post Falls.

"It's troubling, especially when we've still got a ways until Memorial Day," Moore said. "I guess it means Sunday drives are in the rear-view mirror and the shopping lists at the grocery store will have to wait longer. Fifty dollars won't get you very far these days."

The Post Falls price has risen 11 cents in the past week and 33 cents in the past month.

It's even worse if you head west. Washington's average is $3.92 and up 20 cents from just a week ago.

"Run-ups in oil prices a month ahead of what might have otherwise been expected are the main contributor," said Dave Carlson, AAA Idaho spokesman. "Playing into that rapid run-up, we believe, is the refinery fire at the Big Cherry refinery in Ferndale (Wash.) two weeks ago.

"We believe that refinery, which supplies about 20 percent of the transportation fuels for Washington and Oregon, had a ripple effect on prices in Idaho."

Carlson said it's likely that the Salt Lake pipeline is pushing more gas into Washington to cover some of the losses due to the Ferndale shutdown.

"Doing so may have contributed to the big jump in Idaho price," he said.

Moore has other suspicions.

"I don't think the uneasiness about who's going to be the next president helps," he said. "All I know is that I don't like it. I'm sure we'll be at $4 like other places soon."

Rathdrum's Rhonda Stewart said prices have her family thinking about tweaking their summer plans.

"We were going to go out of state to visit relatives, but we're taking another look at it," she said. "It may be that we just have to stay local this year."

So what's driving oil prices?

"Whether investors are reacting with fear that supplies will be constricted due to tensions in Iran or apprehension about the European Union's debt crisis in Greece, or on more positive economic news that good growth is just around the corner, it's showing up in higher oil prices," Carlson said.

The price hike, Carlson said, is happening because oil and gas inventories are good and demand is down 5-7 percent this year compared to a year ago.

Idaho is one of the Rocky Mountain states benefitting from cheaper oil costs, but it's not bullet-proof from oil prices that surged to $110 last Friday.

"As we noted a week ago, the increases have not yet been fully accounted for at the retail pumps," Carlson said.

AAA expects the Idaho price to peak between $3.75 and $4.25 by May 15.

"If Idaho maintains some of this regional advantage, we might be at the lower end of the range," Carlson said. "And there will be states that may be well into the $4-plus range. A $5 range is not likely in our estimation."

Gas price comparison

Week Month 6 months 1 year

Thursday ago ago ago ago

Cd'A $3.38 $3.26 $3.04 $3.66 $3.07

Post Falls $3.43 $3.32 $3.10 $3.72 $3.12

Idaho $3.38 $3.20 $3.10 $3.68 $3.24

Washington $3.92 $3.72 $3.49 NA $3.49

U.S. $3.74 $3.61 $3.44 $3.63 $3.39

SOURCE: AAA Idaho