Old North News

As nation heads into peak driving season with Memorial Day, the latest Gasoline Misery Index shows the average North Carolina resident will spend an average of $907 more this year than they did last year.

The U.S. Energy Information Administration (EIA) reported that the cost of gasoline for the holiday weekend marked the highest inflation-adjusted prices in the last decade.

Gasoline prices continued to either rise or remain steady in late May, but have yet to decline. The national average price per gallon recently was reported at $4.60, nearly 50 cents higher than a month ago. The latest Gasoline Misery Index shows that on average, Americans will spend $814 more annually on gasoline now than they did at this time last year. In the state of North Carolina, the average is $4.36 per gallon, and the misery number sits at $907.

The Gasoline Misery Index tracks how much more (or less) the average American consumer is paying for gasoline on an annualized basis, according to the Index’s website. Numbers are compiled using gas price data from the American Automobile Association (AAA), average fuel efficiency (mpg) data from the U.S. Department of Energy and average miles driven from MetroMile.com. The Index tracks the average price of a gallon of regular gasoline and adjusts using the average miles traveled by the average miles per gallon of American cars.

In light of Memorial Day weekend, GasBuddy asked Americans about inflation’s effects on their travel plans. According a press release on the survey results, 70% said their summer travel plans have been affected by high gas prices (an increase of 24% over 2021). 

"Against a backdrop of gas prices that have continued to set new records ahead of Memorial Day, Americans have been resilient in their desire to hit the road, but we’re certainly seeing increased hesitancy due to rising prices at the pump," Patrick De Haan, head of petroleum analysis for GasBuddy, said. "Soaring inflation has led to uncertainty over rising costs."

According to an AAA newsroom report, more than 39 million people were expected to travel 50 miles or more from home during the 2022 Memorial Day holiday weekend. Drivers were expected to pay an average of 51% more to fill up their tanks over the holiday weekend when compared last year.

AAA reported on May 26 that new data from the EIA shows that total domestic gasoline stocks had decreased by 500,000 barrels (bbl) to 219.7 million bbl the week before. Gasoline demand also dipped slightly from 9 million barrels per day (b/d) to 8.8 million b/d, which accounts for a period of relatively steady prices.

According to the EIA, in January 2021, the national average price per gallon of gasoline was $2.33. It has increased 97% when compared to Friday's national average price of $4.60. A number that the Gasoline Misery Index calls the Biden Misery Index, Americans are spending an average of $1,192 more per year today since the president entered office in January 2021.