Gas Prices Loom Near the $4 Mark10 Apr 2012
According to the AAA Fuel Gauge Report, the highest recorded unleaded gasoline price is $4.114, which occurred on July 17, 2008. And if you didn’t already know, we are getting close to that record — real close. As of Saturday, April 7, 2012, the average price of regular unleaded gasoline was $3.932. Of course, some states are already seeing the $4.00 crest in gas prices. Just a month ago it was $3.758, which represents a .17 cent per gallon increase in just one month.
One of the main causes of the near record high gas prices is the tensions in the Middle East — specifically Iran, which is “threatening to disrupt about 20 percent of the world’s oil supply,” commented Cathy Hein, a spokeswoman for AAA Carolinas, in the Winston-Salem Journal.
Besides the Middle East tensions, problems in refineries, disruptions in pipelines, and the pricier summer gasoline blends are other reasons for the high gas prices. Typically, we see gas prices rise in the spring. When refineries switch over to less-polluting, cleaning-burning summer blends, they shut down some operations, reduce supply, and stop producing winter grade blends.
It’s not only consumers who are feeling the pain at the pump. Imagine what fleet managers — or just about any business that uses vehicles in its operations — are having to contend with as a result of the higher gas prices. Fleet operators rely on operating a fleet of vehicles for income, and when gas prices are high, combined with a tough economy, they can really feel squeezed.
Although fleet operators are always interested in saving money, when gas prices top $4 per gallon, it’s even more critical to find ways to save money. This is when fleet managers place extra attention and focus on how their employees are driving, how routes are planned, and other ways to increase their fleet operating efficiencies. No longer can they afford to have their employees idling unnecessarily, speeding excessively, or accelerating suddenly. For example, an average of one gallon of gas is burned for every one hour of idling.
One of the best ways to see fleet cost saving results is through a GPS fleet tracking system. A GPS fleet tracking system can help fleet managers realize an immediate reduction in fuel consumption, and can produce a return on investment (ROI) in weeks. Besides helping to derail drivers excessive fuel consumption bad habits, a fleet tracking system helps to reduce unnecessary pollution.
If you’re a fleet manager and looking to reduce your gasoline consumption in lieu of the near record high gas prices, give us a call or visit our GPS Fleet Tracking page.