The Senate Energy Committee heard from a group of Oil Industry panelists about the various reasons gas prices are so high. Their reasons included geopolitical problems, increasing demand from emerging nations and disruptions in supply. They also talked about “spare capacity.”
Among those in front of the committee were; Acting Administrator Howard Gruenspecht of the Energy Department's Energy Information Administration testified, along with Chairman Daniel Yergin of IHS Cambridge Energy Research Associates; Senior Vice President and Director Frank Verrastro of the Energy and National Security Program Center for Strategic and International Studies; and Managing Director and Head of Commodities Research Paul Horsnell of Barclays Capital.
A recent Gallup poll showed that if gas prices reach $5.30 to $5.35 per gallon, Americans believe that their lifestyles and spending habits will be affected.