The price of gasoline in the United States has risen to its highest point since the beginning of March 2021, and many drivers across the country are wondering why this is happening? Overnight, oil prices in the United States increased by 11 cents. This will quickly impact the cost of goods and services.

How U.S. Gas Prices Are Headed Higher?

Rising oil prices have long been a major contributor to surging gas prices, but now another factor is contributing: Russia. Russia’s incursion into Ukraine has raised concerns that oil supplies could be at risk. A reduction in Russian oil exports would certainly raise global oil prices and put upward pressure on U.S. gas prices. The Biden administration should act immediately and open strategic reserves—U.S. gas prices will only rise further without them.

Russia supplies a significant amount of oil to Europe and has even strengthened its hold on European markets in recent years. However, it also exports significant amounts of oil to Asia. The world’s leading importer of Russian oil is China. With nearly 900,000 barrels per day entering its markets from Russia in January, China alone accounts for nearly 25% of all Russian oil exports. A disruption of those shipments would have ripple effects throughout global markets. Fortunately, there are no signs that disruptions will occur anytime soon. Still, because U.S. gas prices are tied closely to global oil prices as well as supply concerns, such concerns should be taken seriously by policymakers at home and abroad—and U.S.

Why Are Gas Prices Rising So Fast?

Gas prices have risen dramatically in recent weeks, with a gallon of gas costing $4.50 on average at last check. That’s about a 25% rise from a year ago—why is it rising so fast? The US imported only 2% of its oil from Russia. Of course we don’t want to be reliant on foreign oil; but that doesn’t change our situation very much. The Obama Administration increased fracking and offshore drilling in an attempt to reduce dependence on foreign energy sources, yet total fossil fuel consumption has increased by 8 percent since 2008. It should come as no surprise that when energy demand grows while supply remains stagnant or declines–prices will rise accordingly.

The Biden Administration should have opened the strategic oil reserves before the war started in Ukraine to keep oil prices down. What is the Biden Administration waiting for? All that would be required are two executive orders: One opening up and another closing down some of our strategically held reserves.

Setting Up a Supply Line From the Strategic Reserve

The US has maintained a strategic petroleum reserve in underground salt caverns on Louisiana’s coast since 1975. The facility, which can hold as much as 727 million barrels of oil, exists to protect against economic downturns and supply disruptions caused by natural disasters. To protect US consumers from rising gas prices during recent events in Ukraine, President Biden should immediately open up a limited portion of those reserves to keep supply levels consistent with demand.

How to save money During the Rise of Oil Prices?

If you want to save money on rising gas prices, it’s probably not a good idea to start taking more car trips. In fact, driving more can end up costing you even more than simply paying higher gas prices. To help lower your costs without raising your current spending habits, try making these changes.

Time to get a gas credit card! Do you already have one? If so, are you getting as much out of it as possible? You could be missing out on discounts and rebates by not being strategic about how you fill up. Sams Club, Bj's and Costco is another place where many people save on gasoline prices. Moreover, the savings on other products they offer overall savings to your budget. Oftentimes you need to buy certain quantities in order to reap these savings (usually $100 or more).

Here are some other tips to ease the pain during these gas price hikes:

• All four tires in good shape and properly inflated

• Use apps to find stations with lower prices

• Join a food club with a gas station (Sams Club, Bj's or Costco) Sign up for the clubs MC for additional savings on fuel.

• Be up to date on maintenance of your vehicle to include, oil changes, air and fuel filters, oxygen filters, and if you're using conventional oil, switch to synthetic.

• Use Cash back debit & Credit cards when buying fuel.

• Unload your vehicle; do travel anymore with a full truck of items you don't use.

Note: Sams Club, BJ's and Costco are members only warehouses, but it’s possible for non-members to purchase gas. Costco is a bit less strict about allowing outside purchases as long as you have a valid membership number and photo ID. However, if you are not a member of one of these clubs, it might be time to benefit from fuel and food savings by joining.

What about Fleet Owners and Small Businesses?

Small business owners & Fleets can save big by using a AtoB Fuel Credit Card. If you have a fleet of two are more vehicles than this card can help your cash flow and provide lifetime savings. The average cost of gasoline in America is $3.83 per gallon, but with rising costs that may increase in May due to recent sanctions on Russian oil imports imposed by The United States.

Benefits of AtoB Fuel Credit Card:

1. Accepted at every gas station except club stores (Bj’s etc)

2. A fuel card which transforms into a maintenance card

   1. Just spend and pay off two times your weekly limit to unlock other purchasing options

3. No hidden fees

   1. Permanent 6 cent per gallon discount.

      1. The majority of Gas cards discounts expire after you exceed a certain purchase amount purchased

We use AtoB Fuel Credit Card to extend our cash on hand. Fuel prices has increased the cost of wood and as a small business, we look for other ways to stay within budget and keep prices low for our customers.