As soon as the summer arrives, the prices of gas significantly boom. The boom primarily affects the middle-class and lower-middle-class to a core extent. One can witness the hike in prices from March, which mostly continues till June. There are a few reasons behind this happening. Read on further to understand the causes and the logic behind this:Read More
Reasons Behind The Expensive Gas
As told before, during the summer season, there is a change in the prices of gas. This change can be witnessed for a few months, and later on, the prices automatically decline. A few arguments support this fact. These are as follows:
The more you desire something, the more expensive it tends to be. Think of it as getting concert tickets for your favourite band. A similar logic can be applied here. Collectively, people drive more frequently in the spring and summer months. One has the urge to travel more during these two seasons. More trips and outings would mean more fill-ups of fuel. During the summer season, the demand for fuel rises significantly. As the law states, with the rise in demand, there will be a reduction in the supply. While on the other hand, there is also a massive effect on the fuel prices along with fuel tax savings. When a product is demanded in excess, the prices are always high. This fact also stands true in the case of gas demand supply. Therefore, the prices are high during the summer season.
The essential factor behind this hike is that they significantly use heaters during the winter season and stay indoors. However, as soon as the summer season arrives, people prefer to go outside, causing more gas usage. Hence, the prices are pretty high during the summer season.
Implementation of Summer Gasoline
The arrival of the summer season calls for the usage of summer gasoline. In simple words, gasoline is of two types: summer gasoline and winter gasoline. During the summer season, it is the regulation of central government authorities to use summer gasoline. It is because, in the summer, gasoline evaporates at a fast pace. Thus, damaging the engine and air conditioner of the vehicle. Other than this, the rate of pollution also increases.
As a consequence, the government has made the regulation of using summer gasoline during the summer season. Currently, it is a mandatory aspect that should not be neglected. In the summer season, refiners are used to lowering the emissions caused by cars and other vehicles. The refineries produce gasoline blends. These blends have a low emission rate and thus also have low volatility. The process is expensive, thus affecting the prices of gas.
Advent of Covid-19
The introduction of covid-19 caused havoc in the lives of people. With this, from business to personal lives of individuals got affected to a significant extent. The effects of Covid-19 are still visible in the year 2021. The arrival of the coronavirus broke the peaceful equilibrium between the demand and supply of the market. The oil and gas industry was also among the most affected ones.
To control the transmission of covid-19 cases, the government imposed a lockdown. Due to stay-at-home orders, people were not allowed to go outside or even meet anyone. Hence, there was very little consumption of fuel during the previous year. It can also be said that the increased prices are also the after-effects of the covid-19. The economies almost collapsed after the waves of covid. Other than this, the economies are reopening, which means the demand is at its peak. Therefore, with the increase in consumption, the prices will also witness a significant hike.
Video Credit – Smart Trucking
How to Overcome the Issue?
Gas is a mandatory thing without which life feels incomplete in the modern era. Thus, when the prices tend to increase, it affects most people. Therefore, it is necessary to overcome this issue as soon as possible. Here are a few ways through which one can cross the hurdle of overpriced gas.
Comparing the Prices
The first and foremost thing to do is compare gas prices with all the available distributors and retailers. By doing so, an individual will get an estimate of the costs charged by the distributor. Sometimes, there is a variation in the prices offered by other distributors. One can also install various applications to get an accurate price list of the gas and related components.
“Our chief want in life, is someone who shall make us do what we can. This is the service of a friend. With him, we are easily great.” – Ralph Waldo Emerson
To get discounts and other offers, an individual can also join loyalty programs. These are primarily available at gas stations and other areas related to the gas and its products. Therefore, less will be charged, and more will be rewarded.
While driving, always keep in mind the concept of fuel efficiency. This will not cause wastage, and more fuel will be saved also your truck will give you great mileage readings. Additionally, it will not burn a hole in your pocket with the help of IFTA mileage tax savings.
Minor changes in your driving habits can also create a surprising difference in saving gas. If you are guilty of committing some most common gas-sucking habits such as speeding, quick or hard braking, you should stop them immediately.
There is a sudden increase in gas prices during the summer season. However, by following the tips and tricks mentioned above on overcoming the excess pricing, one can cross this hurdle and thus, the gas will be received at nominal rates.