Gasoline prices find grumps at the pump

The way Mike Millard sees it, gas prices never should get this high.

"I know we're getting ready for war," said Millard, 32, a St. Petersburg construction worker filling up his Ford Ranger pickup Monday night, "but there are a lot of countries that supply us with oil, including ourselves."

Many motorists are beginning to notice escalating gas prices which, according to the American Automobile Association, are among all-time highs in Florida.

Florida's average cost per gallon for regular gasoline on Monday was $1.69, up 19 cents from a month earlier and 56 cents higher than the same time last year. It is the highest average price for gasoline ever in the state, according to AAA.

"We still have the lowest gas prices in the world," said Yoli Buss, director of traffic safety at AAA Auto Club South. "It's just that they're high. Thankfully they haven't reached $2 a gallon. I don't think they will."

Industry experts pinned the increases on growing concern over the likelihood of war with Iraq and the continuing effects of an oil workers' strike in Venezuela.

As recently as November, Venezuela supplied the United States with 8 percent of its petroleum. Only Canada, at 10.4 percent, provided more.

About 60 percent of all petroleum consumed in the United States is imported.

Today, Florida Attorney General Charlie Crist will meet with representatives of six major oil companies to find out the oil industry's role in prices at the pumps.

Crist has also asked the Federal Trade Commission to look into whether Florida gas stations are artificially increasing prices to take advantage of possible war with Iraq.

Several gas retailers suggested he should look at the whole industry, not just the stations.

The prices in the Tampa Bay area remain lower than most Florida metro areas such as Daytona Beach, Fort Lauderdale and Miami. Miami's average cost per gallon is $1.72.

Still, Florida's average for regular unleaded gas has exceeded the national average each month since last March.

A petroleum industry economist said basic economics are at work and that a "perfect storm" of international factors were driving up the price of gasoline, not any kind of gouging or conspiracy by producers.

A two-month national strike in leading oil producer Venezuela, the potential for a strike in Nigeria, a particularly cold winter, a growing economy, and the prospect of war in Iraq all combined to push crude prices up, said John Felmy, chief economist at the American Petroleum Institute.

"This is simply fundamental supply and demand," Felmy said.

Buss, director of traffic safety for AAA Auto Club South, said to save money on gas costs, motorists should drive the speed limit and keep tires properly inflated.

"What we tell people is try to shop for gas but stay in your area," Buss said. "If you start traveling all over town looking for gas, you're wasting gas."

-- Times researcher Caryn Baird and staff writer Scott Barancik contributed to this report, which includes information from the Associated Press.

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