Waukesha gas prices rise
Expert blames refinery problems

By DARRYL J. ENRIQUEZ - Special to The Freeman

June 8, 2013

WAUKESHA – At $4.08 per gallon, the cost of regular gasoline here is six cents more than the statewide average of $4.02 per gallon, according to figures released Friday by AAA-Wisconsin.

The uptick in prices is hitting consumers squarely in their pocketbooks. Last month, the cost of a gallon of regular gas was about $3.75 in Waukesha, according to AAA. Last year at this time, regular gas cost $3.62 per gallon in the city, 46 cents less than the current average.

In comparison, the national average is $3.63 per gallon, up from $3.56 a year ago.

The cost of gasoline in Wisconsin is the sixth highest in the United States. Only consumers in Hawaii, Michigan, Illinois, Indiana and Alaska pay more, according to AAA.

Buckle your seat belts. Relief from rising gas prices may not happen for a couple of weeks.

“We have a number of refinery problems in the Midwest and elsewhere,” Aaron Roth, executive director of the Wisconsin Petroleum Council, said. “There’s not a shortage of crude oil. The problem is with the production of gasoline.”



‘It’s just one thing after another’

Refineries in Wisconsin, Illinois, Minnesota, Indiana, Kansas and Michigan are experiencing production reductions for a variety of reasons, Roth said. And they all supply gasoline to the Milwaukee area, he said.

“It’s just one thing after another,” Roth said. “We are experiencing a 22-year low in gasoline production. We’re not running out of gasoline, but some suppliers are setting their prices higher to get people to drive their cars less.”

Troubled Midwest refineries are seeking gasoline via pipelines from Gulf Coast refineries. That supply would be distributed to Milwaukee- area retailers, but the turnaround could take 10 days to two weeks, he said.

Refineries that are off line for upgrades should be back at full production before the Fourth of July, he said.

Until then:

■ A St. Paul, Minn., refinery that produces 300,000 barrels a day is down for pollution control upgrades.

■ An Indiana refinery is upgrading to accept Canadian oil.

■ An Illinois refinery just completed an upgrade but found a leak.

■ A Detroit refinery was heavily damaged by a fire last week.

■ Improvements at other refineries in Kansas, Michigan and Wisconsin will not be done until mid- to late summer.

“Try to conserve fuel and don’t make unnecessary trips,” Roth advised. “This has just got to work itself out.”