WEST MICHIGAN - Gas prices rose again around West Michigan on Monday with prices spiking to around $3 a gallon for regular unleaded. The average price nationally is $2.87, while California is highest in the nation at $3.69.
In Michigan, our average price Monday morning was $2.92 a gallon. That's up about seven cents in the past week.
Drivers are left wondering, why are gas prices the highest they've been since years? Simply put: The demand is high and supply is low, according to petroleum analyst Patrick DeHaan with GasBuddy dot com.
Prices are up to the highest levels they've been in three years, but still far below 2008's all-time high of $4.11.
DeHaan says a portion of it has to do with President Trump's decision to withdraw from the Iran nuclear deal, but more about supply and demand.
“This is continuing to be more so about OPEC's long-standing production cuts that have removed the glut out of crude oil. That had led to gas prices being down the past couple of years. What we're seeing now is oil inventories that are 89 million lower than last year and gas prices rise as a result."
DeHaan says the Iran deal is the wild card right now. He says we’ll have to wait and see what happens with that, but he doesn’t think prices will go much higher than $3.40 this summer in Michigan.
He says lowest prices are on Sunday nights and Monday morning. You can always log onto GasBuddy.com for the latest prices in your area.
►Make it easy to keep up to date with more stories like this. Download the WZZM 13 app now.
Have a news tip? Email news@wzzm13.com, visit our Facebook page or Twitter.