Gas Prices Likely to Rise Again as OPEC Alliance Slashes Production
GASSED UP
The OPEC Alliance’s plan to cut oil production could send gas prices back up after months of falling, as Biden hopes to alleviate that by releasing stocks from the U.S. reserves.
Gas prices could be on the way back up soon after the OPEC+ alliance announced Wednesday its intention to slash oil production by 2 million barrels a day. The Biden administration plans to release stocks from the U.S. reserve to help combat the shortage and keep prices stable. After a summer that saw gas prices spike intensely amid Russia’s invasion of Ukraine, prices began to fall steadily in July. But prices have already been trickling up in the last few weeks, especially on the West Coast, as states grapple with a limited supply. OPEC is responsible for producing about 30 percent of the world’s oil supply, which adds up to about 28 million barrels a day, according to the BBC. The average price per gallon currently sits at $3.83, an uptick from the September low but not yet reaching the summer high.
