US Energy Department Expects Average Pump Price of $3.55 in 2013 image

According to the U.S. Energy Department, the US drivers will pay more at the pump this year than previously expected.

The department’s Energy Information Administration announced that the price for the regular-grade gasoline will reach $3.55 a gallon, an increase from $3.44 in January’s forecast. In 2012 prices averaged $3.63 a gallon and in 2014 they are expected to average $3.39, an increase from January’s forecast of $3.34.

Gasoline consumption in 2013 will average 8.73 million barrels per day, the same projection as last month and an increase from 8.72 million in 2012. Demand for 2014 will most likely reach 8.72 million barrels a day, a decrease from January’s forecast of 8.73 million barrels. Distillate demand, which includes heating oil and diesel, will reach 3.77 million barrels per day, a decrease from January’s outlook of 3.8 million, and consumption for next year was estimated at 3.83 million barrels, the same as in January’s projection.

The Energy Department predicts that household heating primarily with oil will pay about $2,459 during the winter season (October 1st – March 31st), an increase of 18% compared with last winter, due to a rise of 4.5 in prices and 13% increase in consumption.