Gas price rises to $3.39 per gallon, just shy of seven-year high

A gallon of gas costs almost a dollar more than when President Biden took office

FOX Business host gives his take on the rising tensions between Russia and Ukraine, tax cuts and Biden's energy policies on 'Kudlow.'

The average price for regular gasoline continues to rise and is only three cents away from a new seven-year-high.

According to AAA, the average price for regular gasoline now stands at $3.39, which is only 3 cents per gallon from a new seven-year high that was reached in 2014 when gas hit $3.42.

High gas prices are posted at a full service gas station in Beverly Hills, Calif., Sunday, Nov. 7, 2021.AP Photo/Damian Dovarganes) (AP Photo/Damian Dovarganes / AP Newsroom)

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Additionally, $3.39 per gallon is almost a dollar more than the cost of gas was when President Biden took office in January of last year.

Earlier this week, Fox Business reported that the price for a gallon of gas has risen for the fifth week in a row.

AAA explains that the rise in gas prices is partially pushed by the developing tensions between Russia and Ukraine and fears that further sanctions on Russia would cause the country to withhold crude from the global market.

"At the moment, only one person knows why Russia is threatening Ukraine, and that’s Russian President Vladimir Putin," said Andrew Gross, AAA spokesperson. "And the tensions along the Ukrainian border have helped push crude oil prices higher almost daily."

Gas pump filling nozzles. Fuel at gas station close up (iStock / iStock)

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AAA’s gas price tracker shows that a gallon of regular gasoline, on average, cost $2.42 per gallon one year ago and $3.28 per gallon one month ago.

For months, the prices of all kinds of energy – gasoline, diesel fuel, natural gas, oil, and more – have been a major driver behind inflation, which surged 7% in December, the highest level since 1982. Energy costs have climbed more than 29% over the past year, in part due to lopsided supply and demand. Consumers are traveling more, but the supply side has not kept up with the demand.

New analysis published Wednesday by the Joint Economic Committee Republicans suggests the Biden administration is exacerbating soaring energy prices by cracking down on the oil and gas industry with new regulations that limit production and discourage investments in traditional energy infrastructure.

The JEC study, shared exclusively with FOX Business, shows how President Biden's policies have stoked higher energy prices by "imposing new barriers to accessing American oil and gas reserves, and by discouraging investment in these historically reliable and inexpensive sources of energy." Rep. Mike Lee, R-Utah, is the ranking member of the Joint Economic Committee.

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"Washington is sending conflicting messages," the report, authored by economist Hugo Dante and data analyst Kole Nichols, said. "Policymakers seem simultaneously concerned about high prices reflecting the weak supply of oil and gas, while aggressively pursuing an agenda designed to entirely phase-out oil and gas from domestic energy production."

Fox Business’ Megan Henney and Jeff Flock contributed to this report

Crude Oil Daily

Thursday, February 3, 2022