According to recent information from the Energy Information Administration at the U.S. Department of Energy, the average price of gas is $1.66 per gallon and has risen 12 cents in the past two weeks. The average price a year ago was $1.48. UAB energy expert Henry McCarl, Ph.D., says the oil industry is blaming new pollution-control standards for the price increase.
However, McCarl says, other factors are also influencing rising prices. "We have had large mergers in the oil-refining industry, and it is now easier to "follow-the-leader" in raising prices. Lack of competition generally leads to higher prices. Fewer competitors makes it easier to manipulate prices to improve the bottom line."
Contact Jennifer Park, Media Relations, 205-934-3888 or [email protected].
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