President Obama talks gas prices with AAA

BOISE – Saying he identifies with Americans who must pay more at the pump, President Obama yesterday tried to make some sense of high energy prices, the cyclical nature of gas prices and the global tensions that are driving higher pump prices.

Following his speech on energy issues in Cushing, Oklahoma, President Obama spoke yesterday to a representative of the nation’s largest and oldest auto club, AAA, which serves one in four American households—and has been reporting gasoline prices since the 1973 Arab oil embargo.

“I understand what folks are going through because it wasn’t that long ago that I was having to fill up my gas tank and drive to work, shuttle the kids back and forth to school or events,” the President said. “It takes a big bite out of folks’ paychecks.”

He went on to say that the U.S. has experienced cyclical gas prices for decades and stressed the importance of America having more control over its own energy security.

Today, the average U.S. price for regular grade gasoline is $3.89, up about 61 cents since January 1, and 34 cents higher than a year ago. The U.S. average mark is up 31 cents in the past thirty days. Here’s how this year’s first quarter U.S. prices for January through March compare to the the most recent five year period: 2012, $3.57; 2011,$3.26; 2010 $2.71, 2009, $1.88; 2008, $3.11.

Meanwhile, playing an aggressive game of catch up, Idaho’s average price has risen 56 cents in the past month to an average of $3.74 today. The average price today is 66 cents higher than on January 1 and 27 cents higher than the seasonal record prices a year ago. Here's how Idaho's first quarter gas prices for 2012 compare to the most recent five year period: 2012: $3.28; 2011, $3.13; 2010, $2.71; 2009, $1.88; 2008, $3.11.

Asked about the role the President of the United States should have in addressing prices at the pump, given the global forces and political tensions abroad that drive higher oil prices, the President elaborated on points from his earlier speech.

“The most important thing I can do as the President is not to simply focus on tomorrow. It’s focusing on getting America properly aimed toward our goal of continuing to reduce our dependence on foreign oil,” President Obama said.

He pointed to the significance of maintaining growth and productivity while further reducing U.S. oil consumption. The pressure on oil prices in the coming two decades will be difficult to reverse, he said.

In a national release reporting about its interview with the President, AAA noted it continues to explore

new vehicle technologies to offer enhanced and improved services to its 53 million members.

“There’s a bit of déjà vu in our own work,” said AAA Idaho Public Affairs Director Dave Carlson. “Electric cars were around in some limited capacity when AAA formed in 1903, and now we’re exploring new ways to improve roadside charging assistance to members with electric vehicles as part of a reemerging technology."

The President acknowledged that electric vehicle technology is one of the important ways the nation can address personal mobility. “People need to feel confident that when they get into an electric car they’re not going to get stuck.” He said new technologies promoting more efficient batteries and distribution capacity are part of the improvements that the nation must pursue.

The President also shared his insights about the role of alternative-fuel vehicles as a possible solution to current high fuel costs. Mr. Obama noted that fuel efficiency standards for cars and trucks have doubled, which will result in fewer trips to gas stations and a savings for the average family of about $8,000 over the life of the car.

“If we unleash American creativity, if we properly incentivize people to think about fuel economy as part of the overall design, Americans can make great cars,” he said.

AAA couldn’t pass up the opportunity to ask President about his own first car. Noting he had been a AAA member for years, he said, “ I have to confess, my first car was my grandfather’s car which was a Ford Granada. It rattled and it shook, and I don’t think the girls were particularly impressed when I came to pick them up in a Ford Granada.”

But the President says he holds fond memories of the car that got him where he was going.

AAA is a non-partisan organization, providing unbiased reporting of gas prices through it weekly Fuel Gauge Report. The travel organization supports the national dialogue on gas prices by offering objective and accurate perspective to the media and motorists year round.

AAA Idaho has been collecting and reporting gasoline price data every year since 1974.