Gas prices soaring in Pa., NJ, Del. How high will they go?

SWARTHMORE, Pa. - February 13, 2012

The American Automobile Association (AAA) reports that nationally the average price for a gallon is now $3.51, up 12 cents in the last three weeks. Drivers in the Philadelphia area are paying about $3.61. In Delaware, it's $3.57. Drivers in South Jersey are paying $3.48 a gallon.

Winter is normally a quiet time at the gas pump. But not this year. Prices are up more than 20 cents a gallon since New Year's Day. With local refineries closing and prices rising, drivers are fed up with big oil.

"It's like a monopoly," one man told Action News. Pay for it or you don't go, that motorist agreed.

Recent published reports predicted nationally gas prices could top $4 a gallon by May.

As former energy forecaster, now Fox School of Business Professor Fred Murphy looks at futures contracts, he is skeptical of a $4 peak. But he quickly adds there is a geo-political wild card out there, if "things get a little hot there and bombs fall and rockets fly."

Murphy is talking about Iran. The thinking is if there is an attack on its nuclear program, the results could make the 1970s gas shortages look quaint.

"You could have serious congestion points in the Straits of Hormuz, and that would be a major, major disruption of world oil markets, and that would cause prices to sky rocket," he said.

That would be the worst case scenario on a number of levels. But for almost 40 years oil spikes have been a major pain for drivers. No matter how fuel-stingy your car, you still need to fill it with gas, unless you have a car like the Nissan Leaf.

As David Lewis of Loughead Nissan explains, it is "all electric. Plug it in, drive it around. Drive it around for 100 miles."

That is the expected range of the batteries. To go farther you have to recharge it. And what's it like to drive?

"Plenty of pickup and no sound," said Lewis. "It's very quiet."

A battery-powered car is not practical for long distance driving. But around town? Well, Nissan has sold 10,000 thousand of them in other cities. Lewis is expecting the first deliveries here in the next few weeks.

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