Diesel fuel, which is used by farmers and truckers to deliver goods to Americans, has surged by 75% in the last year.
According to a survey released on May 16 by the American Automobile Association (AAA), the national average for diesel fuel is $5.61 a gallon.
Per Fox Business, American customers are still suffering at the gas pumps, particularly in the Northeast:
Because the Northeast has fewer refineries than the rest of the country, prices are even higher: For example, in New York, gas costs as much as $6.51 a gallon, a staggering 102% rise from a year ago.
Instead of reverting to the domestic fossil fuel abundance — and cheap gas costs — enjoyed during former President Donald Trump’s administration, his successor, Joe Biden, is turning to energy reserves stored in case of war or other national emergencies.
If conditions worsen, White House officials are preparing an emergency declaration that would allow President Biden to release diesel from the Northeast Home Heating Oil Reserve to address short-term supply shortages.
The Northeast Home Heating Oil Reserve, established in 2005, holds around 1 million barrels of diesel, or about a day’s supply in the region. Only once has the reserve been used, in the aftermath of Hurricane Sandy in 2012.
The Biden team realizes that tapping the reserve will not significantly lower diesel costs, but it will prevent spot outages that would be “highly disruptive to families and businesses,” according to the White House official.
In an interview with National Public Radio (NPR), Bob Costello, chief economist for the American Trucking Association, noted that rising gasoline costs are affecting not only truckers but also consumers. “Ultimately, you and I, as consumers, will see this on the store shelves in the price of the products,” Costello added.
Mark Darrington, an Idaho farmer, was interviewed by NPR.
In the interview, Darrington stated, “My increased production costs have to be passed on to the consumer.” “Otherwise, the countryside will shut down.”