Gas prices could increase as a result of tensions between Russia and Ukraine

by Talia Clarke, Reporter, WMTW 8

As tensions continue to mount with Russia along the Ukrainian border, trade around the world is starting to be impacted. The price of oil and gas is continuing to increase.

According to Andrew Price, the president and COO of Competitive Energy Services, gas is already up about a dollar a gallon from a year ago.

Price says gasoline and oil are world markets, with Russia producing about 10% of oil worldwide. Anything that happens in Eastern Europe like we’re seeing right now with Russia and Ukraine, can impact world prices.

Price says, “If Russia were to reduce production, it would increase prices in the U.S. even though we don’t import much oil from Russia.” Price says even the threat of potential sanctions from the U.S. to punish Russia, is contributing here to recently increasing prices.

Unfortunately, Mainers are doubly impacted because of a high number of homes using oil and natural gas for heat and a rural area that requires a lot more driving.

Price says in the long term the industry is pulling away from the need for oil and gasoline. There have been some efforts here in Maine to have homeowners install air heat pumps and deploy electric vehicle charging stations.

Original Article & Video

Photo by Dawn McDonald

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