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Hotel Booking Since July, gas prices have been inching up and were expected to gently peak for the busy Labor Day weekend, just like every other year. But yesterday, prices took a giant leap, surging by about 10 cents a gallon at many stations.

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Travel Agency "I had to change (the price signs) twice (yesterday)," said Ano Kouaoh, the manager of a Hess station on Route 22 in Union.

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Cheap Hotel Regular unleaded gas was $1.45 at his station Thursday, Kouaoh said. Early yesterday, he received the first of two company instructions, this one to raise the price to $1.47. About 1 p.m., the price was raised again, to $1.59 -- 14 cents higher than when he opened at 6 a.m.

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Flight Booking "It's crazy," Kouaoh said, after changing the signs again on the pumps. "Everywhere, the price is up, up, up."

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Travel Agent Kouaoh's station was one of the cheaper places.

Hotel Chicago At the other six gas stations nearby, gas had already passed the $1.60 mark for a gallon of regular unleaded.

Online Booking "Wholesale prices went up tremendously (Thursday)," said Denton Cinquegrana, markets editor with Oil Price Information Service, a Lakewood-based trade publication. "Even people who've been trading gas for years say it's a once- or twice-in-a-lifetime day."

Travel Health Insurance Tight supplies, high demand, lower imports, trouble from last week's blackout at refineries in Ohio, Michigan and Canada, and this month's bursting of an Arizona pipeline were all factors that converged to cause the spike in wholesale gasoline, he said.

Hotel Reservation Jim Benton of the New Jersey Petroleum Council, an industry lobbying group, said that the price increases followed the usual pipeline. "Gas follows crude oil, (and) crude oil prices have gone up."

London Hotel Booking Benton, though, said gasoline is plentiful. "Gasoline supply at this point continues to be more than adequate to meet immediate demands," he said.

Discount Travel Even after Labor Day, a drop in prices isn't a given, Cinquegrana warned. "I don't think we're done yet," he said, adding that premium gas could reach $2 a gallon.

Orlando Hotel To most drivers, sticker shock was the reaction of the day.

Booking Agency "If it continues like this, I won't be able to afford it," said Alez Johnson, 37, of Union, who was filling up his red SUV at a Mobil station on Route 22 in his hometown.

International Travel Medical Johnson said he usually gets special grade gasoline, which yesterday was $1.79 at that station. "That's ridiculous," he said, pointing to the price sign.

New York Hotel "This is not right," said Louis Cury, 63, of Westfield, at a Hess station down the road. "There is room for some kind of an increase, but not the increase they are going through."

Online Travel Booking A gallon of regular unleaded gas in New Jersey averaged $1.48 to $1.52 two days ago, up between 9 and 15 cents since early July, according to surveys conducted by the AAA New Jersey Automobile Club and The Star-Ledger. Since last Labor Day, prices grew by 13 to 17 cents per gallon.

Travel Medical Insurance Those cents will be multiplied by millions at the pumps since the holiday weekend is predicted to be the busiest Labor Day on the roads in nine years, according to another AAA survey. The association expects 33.4 million Americans will be traveling, 28.2 million of them by car.

Miami Hotel Usually, summer means a steady but slow increase in gas prices that peaks at Labor Day to start going down afterward, said Pam Fischer, a spokeswoman with AAA New Jersey.

Air Deccan Booking "Hopefully, we'll start to see them come down," Fischer said.

Las Vegas Nevada Travel Cinquegrana, the analyst, wasn't so optimistic.

Las Vegas Nv Hotel "It's not exactly going to be a short-time thing," he said.

Hotel Florence Booking Online By Diego Graglia
Star-Ledger - 8/23/2003

Topic: Petroleum Industry

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