WEST LAFAYETTE, Ind. — Gasoline prices are up this Memorial Day weekend, but motorists should not experience the historic highs of one year ago, said a Purdue University agricultural economist.

Pump prices traditionally rise in late May with the beginning of the summer driving season, said Wally Tyner, who specializes in energy production and policy.

Even though gas prices are going up, they're not expected to go as high as last summer.

“For the rest of the summer, we can expect to see gasoline prices higher than this spring, but nothing like last summer,” Tyner said. “Today, gasoline is $1.35 less per gallon than this time last year. Gasoline prices this summer likely will stay in the $2 to $3 dollar per gallon range and not come near the $4 seen last year.”

A combination of factors is driving gas prices higher, Tyner said.

“First, there are higher oil prices,” he said. “Crude oil is now around $60 per barrel, driven by signs of economic recovery and by violence in Nigeria – an important supplier of crude for the United States.

“In addition, the falling U.S. dollar means that much of the rest of the world is not seeing the higher crude oil prices in their own currency, so they are not seeing higher gasoline or diesel prices.”

The poor economy also is having an affect on gas prices, and could for some time to come, Tyner said.

“Even though there are ‘green shoots’ evidencing prospects for eventual economic recovery, we will continue to be in recession through the summer and into fall,” he said. “Overall demand for petroleum products is still down quite a bit, led by a decline in jet fuel demand of over 10 percent. Gasoline demand had been down 3.5 percent, but recently demand has picked up so that we are only down about 1 percent, leading to higher gasoline prices.

“From December 2008 until this May, gasoline had been priced lower relative to crude oil than by historic norms. But today, even though crude oil stocks are still high, gasoline inventories are now considerably lower than historic norms. In essence, gasoline prices have now caught up with crude oil prices.”

PHILADELPHIA, Penn. — After several weeks of gas prices slowly coming down from record highs, consumers are seeing the trend reverse as pump prices begin inching back over the $4.00 per gallon mark. Because high fuel costs are likely here to stay, Pep Boys is offering “Fuel Efficiency 101” tips to help motorists conserve energy and save money. Efficient engines burn less fuel compared to engines running in less than optimal conditions.

Following these quick and easy steps will help keep vehicles in top shape and performing at peak efficiency.

1. Check tire pressure regularly. Under inflation or over inflation of tires can lead to decreased fuel mileage. Correct air pressure is also required to assure dependable handling, consistent traction and tire life.

Remember that seasonal temperatures change the air pressure in tires. Cold winter weather will cause the air pressure to drop. Warm summer temperatures will cause the air pressure to increase. Rule of thumb is a swing in temperature by 10 degrees will cause a 1 lb. change in a tires air pressure.

Keep a tire gauge in the glove compartment of the vehicle and check the tire pressure regularly. Consult the owner’s manual to determine the correct tire pressure for your vehicle.

2. Check air filters and replace when dirty. Internal combustion engines need air to run – the better the air flow, the more efficient the engine. Dirty air filters cause engines to run at less than peak efficiency which increases fuel consumption.

3. Be sure to use the correct type of motor oil: Using the correct oil weight is important. Higher viscosity oils have greater resistance to the moving parts of the engine and therefore use more gas.

Check the vehicle owner’s manual for the correct oil weight. The oil weight is the first number (with the W next to it) on the bottle of motor oil (e.g. 5W-30). The higher the number, the more viscous the oil, so 5W-30 is less thick and has less resistance to the moving parts of the engine than 10W-30.

Engines operating at peak performance have more power, burn less fuel and leave a smaller carbon footprint than improperly or poorly performing engines. For more tips to keep cars running in top shape, visit Pep Boys Car Care Corner online at http://www.pepboys.com/car_care_corner/

WEST LAFAYETTE, Ind. (Lafayette Online) — Summer driving season has started, and gas prices continue to climb faster than the temperature.

By properly maintaining vehicles and changing wasteful driving habits, Hoosier motorists can take some of the heat off their fuel expenses, said a Purdue University Extension family resource management specialist.

“There isn’t a lot you can do about the price at the pump, but there are many things you can do to stretch the dollars you’re spending to put gas in your car,” said Elizabeth Kiss. “The savings can be rather substantial.”

Vehicle maintenance is important, Kiss said. A car in tip-top running shape can increase gas mileage by 17 percent or more.

“Keeping tires inflated, rotated and aligned can extend gas mileage by up to 3 percent, while a properly tuned engine can increase fuel efficiency by about another 4 percent,” she said. “A dirty air filter can cut fuel efficiency by 10 percent, so you’ll want to check it regularly and replace it when necessary.”

Changing the oil according to the vehicle manufacturer’s recommendations can add to fuel economy, Kiss said.

“How we drive also affects the amount of gas we use,” Kiss said.

“We’ve all heard it before, but it makes sense to combine trips. If you have errands to run, don’t do a few one day and then some others the next day. Plan one trip where you can get them all done.”

Allowing a vehicle to idle burns gas unnecessarily, Kiss said.

“If you’re stopped for more than 30 seconds it makes sense to turn the car off,” she said. “Idling uses more gas than restarting an engine.

“For example, you might turn the car off if you’re sitting at a drive-up automatic teller machine or waiting at a railroad crossing.”

Avoiding “jackrabbit” starts and stops also increases gas mileage when driving in the city, Kiss said.

For highway trips and vacation driving, traveling lighter saves fuel.

“The Federal Trade Commission says that carrying an extra hundred pounds of weight in the trunk can cut fuel economy by up to 2 percent,” Kiss said. “You also can lose fuel mileage if you strap bags and other items to roof racks because of the wind resistance that is created.”

Kiss offers other fuel-saving highway driving tips:

• Don’t roll the windows down. “You can consume 10 percent less fuel if you leave the windows up and turn on the air conditioner. Like roof racks, traveling with the windows down increases drag. Now for in-town driving, rolling the windows down does not produce a drag problem.”
• Use cruise control. “You’re less likely to increase your speed, which uses more gas.”
• Obey the posted speed limits. Gas mileage drops at speeds above 60 mph.

Driving fewer miles can pay off in more ways than just fuel costs, Kiss said. “You might see your auto insurance rates drop and pay less to park,” she said.

For additional fuel saving ideas, visit the Federal Trade Commission’s “Saving Money at the Gas Pump: A Bumper-to-Bumper Guide,” at http://www.ftc.gov/SaveGas. For information on general family resource management, visit the Purdue Extension Consumer and Family Sciences Web site at http://www.extension.purdue.edu/cfs/.

WEST LAFAYETTE, Ind. — Rising oil and gasoline prices will cause many travelers to take shorter trips during this year’s summer vacation season, say two tourism experts.

The price of oil has climbed steadily for several weeks, reaching an all-time high of over $125.96 a barrel on Friday (May 9). The national average retail price of gasoline reached $3.718 a gallon on Monday (May 12), and economists expect the trend to continue.

Liping Cai, professor of tourism management and director of the Purdue University Tourism and Hospitality Research Center, said families, especially those with children, will still want to travel.

“Americans won’t stop traveling this summer, but it will be a choice,” he said. “Our experience tells us they will go shorter distances.”

The overall economy also will have an effect on travel plans, said Joseph A. Ismail, associate professor of hospitality and tourism at Purdue.

“I think we could be looking at some form of a perfect storm for travel this summer and people’s behavior may be changing,” Ismail said. “You have a high number of home foreclosures, a lot of credit debt, and gas and food prices are going up. The Energy Administration is forecasting a decline in gas usage for the first time in 16 or 17 years.”

Cai said the surge in highway travel since the terrorist attacks on Sept. 11, 2001, might end.

“Since 2002 we have observed that people expanded their car travel radius by two hours,” he said. “In other words, if their limit for driving from home was four hours, they went up to six hours. Rural destinations and communities benefited.

“Driving allowed consumers to think they were in control, both emotionally and financially. But I think that surging gas prices, especially this year, have dampened this trend. Consumers feel they are losing control, both psychologically and economically.”

Air travel also may be difficult this summer, Ismail predicted.

“Fuel costs are rising, domestic carriers are focusing more on long-haul international flights, and merger possibilities and business travel are expected to remain strong,” he said. “Leisure travelers may find domestic air travel crowded, late, expensive and unresponsive to their needs.

“There could be mergers, gas surcharges, continued delays and cancellations, and what may be a true conundrum for the leisure traveler.”

There are alternatives to spending large amounts of money on vacation travel, Cai and Ismail said.

“You have to plan ahead, look for vacation opportunities in your city and your county,” Cai said. “You can still get some fresh air and experience nature without panic and pain at the pump.”

Ismail had more advice on how to reduce costs.

“Don’t eat out every meal,” he said. “Take food with you. When I was growing up, my family camped in a Volkswagen bus when we traveled on vacation.

“Taking the Amtrak to Chicago may be a feasible alternative, especially with gas prices up and the cost of parking.”

Cai and Ismail said smaller and local businesses might benefit from changed travel trends.

“If consumers change their behavior, there is an opportunity for businesses,” Cai said. “An attraction that draws 60 percent of its clientele from the city may see more customers from around the area who are driving shorter distances.

“But businesses need to look hard at who their customers are, know the impact of fuel and food prices on them, and gauge the impact on their business.”

Area and state attractions also could be helped, Ismail said.

“The branding of local communities as shopping, dining and museum destinations may pay off,” he said.

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WEST LAFAYETTE, Ind. — Oil prices spiraling to a record $119 a barrel will spur businesses to compensate for higher operating costs, says a Purdue University economist.

Businesses will consider ways to cut fuel and energy consumption, along with lowering delivery costs, says Gerald J. Lynch, a professor in Purdue’s Krannert School of Management.

Some may lock in fuel prices with long-term contracts or share delivery shipment costs with suppliers. Lynch says businesses also could cut back on travel in favor of videoconferencing. Rather than increase mileage reimbursements, companies also might purchase more fuel-efficient vehicles for their employees to use.

“In general, people are going to invest the time and effort it takes to save energy because now they’ve got an economic incentive to do it,” Lynch says. “People didn’t install insulation in the 1970s because they suddenly decided they had a patriotic duty to insulate their homes. They did it because the value of the energy saved was greater than the cost of insulating.”

The same incentives will prompt businesses to examine cost-saving measures as the cost of gasoline hovers at what the Lundberg Survey reports is a record $3.47 a gallon average nationally Lynch says.