War in Ukraine to the Energy Costs of the US


Photo Credit: (Quintin Gellar)

Hannah Shiflett, Reporter

On Feb. 24, men, women, and children woke up to the sounds of missiles flying overhead and abruptly hitting buildings. Meanwhile halfway across the world, people walked through streets or slept peacefully. Not knowing that a war was going to be knocking on the door of their bank accounts.

While war has been raging overseas for the last six months, its effects are reaching the pockets of Pennsylvanians. Since the start of the war, gas prices have risen significantly.

According to the U.S. Energy Information Administration (EIA), the cost of gasoline was $3.413 for January followed by February which averaged $4.322. Once the invasion of Ukraine began, gasoline prices would increase to their highest at $5.032 in June as the national average.

A large part of the reason why for such a dramatic increase was due to the U.S. Ban on Russian Oil, Liquified Natural Gas, and Coal. While only 8% of petroleum imports to the US come from Russia according to IEA. The removal of Russian imports hit hard in the pockets of Pennsylvanians who carry a gas tax of $0.576.

However, on May 5, 2022, The Organization of the Petroleum Exporting Countries (OPEC) announced that they would be increasing their oil production. Two months later gasoline dramatically decreased to a national average of $4.668 and continues to fall, allowing those in the U.S. to have a bit of breathing room.

The war in Ukraine however is growing more intense each day as threats to use Nuclear weapons increase. However, the biggest hit to the energy market has been with the explosion of the Nord Stream 1 and 2 Pipelines on September 26, 2022. Nord Stream 1 and 2 are two pipelines from Russia that help to supply gas directly to Germany and the rest of Europe. The investigation of the explosions is currently underway.

Then OPEC announced they would be reducing the production of oil.

After this shocking announcement, President Biden called the decision “shortsighted.” In further news, the National Energy Directors Association is saying that the cost of energy will be this winter. NBC has recently reported that US “heating bills will jump 28% this winter,” following up on the announcement. Much of the reason why the cost of heating is increasing is due to the short supply of natural gas. All of which can be connected to the War in Ukraine.

The War in Ukraine is not only affecting Europe, who have direct access to Russian gas, but also the United States. The soaring costs of gasoline, oil, and all forms of energy are being impacted by the war.