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Gas Prices Expected To Rise Soon

January 10, 2013, 5:03 PM by Sammi Bjelland

Gas Prices Expected To Rise Soon

With the average price of gas in South Dakota hovering around three dollars, many drivers are enjoying some extra cash in their pockets.

But with summer just around the corner, experts say this honeymoon phase will soon end and the increase could be dramatic.

Gas prices have slowly been dropping all winter long. Some Sioux Falls stations are now selling unleaded with ten percent ethanol for less than $2.90 a gallon.

"I do my living on the road, so I drive a lot of miles. So, anytime we can get gas down to a decent price, it's always nice to see. My company enjoys that a lot," driver Randy Seppala said.

Not only are these lower prices helping businesses, but also families who need the extra cash after the holidays.

"I think I'm just saving a lot more because I actually have a baby on the way. So it's like you save more and then you can buy more stuff for the baby," driver McKenzie Vigna said.

Unfortunately, the low price tags won't be around forever. AAA says this may be as low as they get before they go up in the spring. This annual hike is because summer blends are more expensive to produce. But just how high will the price of gas get?

"Well, anytime gas gets above three dollars a gallon it's going to affect your personal income. As far as getting around town, and back and forth to work, that comes first. So any extra curricular trips are extra," Seppala said.

While some experts estimate the average gallon of gas will be up to $3.95. AAA predicts it will peak between $3.60 to $3.80.

Either way, people paying at the pump are not looking forward to any increases.

"It costs the business people more money. And they start dropping people from work. So we don't want it to happen," driver Richard Tarley said.

"That would curtail some of our business plans I'm sure. Because we rely on a lot of convenience store trades, so that would definitely curtail some of the sales inside," Seppala said.

AAA says their estimates do not take into account the possibility of significant storms, major wars or production outages.

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