DOE Boosts Price Projections for Diesel, Gas, Crude

ummer 2006 retail diesel fuel prices are expected to average $2.91 per gallon, 50 cents higher than last year's average of $2.41 per gallon, the Department of Energy said Tuesday.

The forecast — part of the monthly short-term energy outlook issued by DOE’s Energy Information Administration — also said that regular gasoline would average $2.92 this summer, 55 cents over last year’s average.

Gasoline was projected to average $2.72 per for the full year and $2.67 next year.

The all-time records, set following last summer’s hurricanes, were $3.069 for gasoline on Sept. 5 and $3.157 for diesel on Oct. 24.

For 2006 and 2007, crude oil spot prices are projected to average about $70 a barrel, which is lower than the current price in the low to mid-$70s.

DOE’s previous projected crude oil price for this year and next was $69 a barrel.