On Bauer Business Focus — A conversation on the factors behind stable gas prices with Andrew Schneider, business reporter for KUHF 88.7 FM.
As summer officially kicks off, many are taking that long-awaited vacation, which may include a long drive. While consumer gas prices have remained stagnant, there seems to be no change coming soon according to the American Petroleum Institute (API) President and CEO, Jack Gerard. Gerard stopped by Bauer Business Focus recently to discuss the factors behind stable gas prices.
“When you’re adding a million barrels a day into a marketplace that on a global scale consumes about 80 million barrels, you’re making a significant contribution,” Gerard said. “This takes time to sort itself out in the market but the more we do to bring that supply, the more we’ll become the epicenter or the power of energy production on a global scale and it will benefit U.S. consumers in the process.”
While oil production in the U.S. is helping global consumers, changing what we drive is also playing a factor in price stabilization, according to Gerard.
“What most will predict is that it will likely remain stable and the reason being is the demand for gas in this country is beginning to taper off and the more fuel efficient cars we bring into the marketplace lessen that demand. As we look at it on a season to season basis, it will be relatively stable but we can continue to produce additional crude which will hopefully stabilize that price.”
Click here to hear the full interview.