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Frank A. Douglass Insurance Agency

Gas Price Slide Continues, but Refinery Fire Threatens

Gasoline prices could take a spike upward in Michigan, following a fire at a refinery in Indiana last week. 

The electrical fire at the BP Whiting Refinery was put out quickly, but power had to be turned off at sections of the facility, requiring a partial shutdown. A statement from BP yesterday said officials would begin a “phased restart,” but offered no timetable.

Governor Gretchen Whitmer declared an energy emergency Saturday. That allows fuel transport companies to drive extra hours to deliver gasoline from more distant refineries more quickly.

Both the state and the Environmental Protection Agency have also suspended the rule that requires lower-volatility gasoline to be sold during summer months. That allows existing stocks of winter gasoline to be deployed immediately.

The Whiting refinery provides around one-quarter of the gasoline sold in Michigan.


So far, Michigan gasoline prices don’t seem to have been affected by the Whiting Refinery fire.

As of yesterday, AAA Michigan’s survey showed the average price for a gallon of unleaded regular at $3.83. That’s seven cents lower than a week ago, and 48 cents lower than a month ago, but 70 cents per gallon above a year ago.

Locally, Houghton County’s average price was $4.00 – nine cents lower than a week ago. Keweenaw County fell 20 cents, to $4.10. Ontonagon County checked in at $4.00 – a nickel lower than last week. Baraga County is at $3.90 – also down a nickel from last week.

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