Diesel fuel prices have reached their highest levels since topping $4/gal. in September 2008. On-highway diesel fuel increased 15 cents last week, reaching $3.87 on average across the country, according to the U.S. Energy Information Administration.
The New England region ($4.04), Central Atlantic region ($4.01) and West Coast region ($4.04) all surpassed $4/gal. California has the highest diesel prices in the nation at $4.12/gal, up 15.8 cents in the past week and $1.06/gal. over a year ago.
The sharp rise in diesel prices is due in part to turmoil in the Mideast, which has driven up a barrel of crude oil more than 20% in two weeks, according to Bloomberg. A barrel of crude, though, dropped yesterday for the first time in three days after Libyan leader Muammar Qaddafi reportedly offered to resign. Trading on the New York Mercantile Exchange closed the day at $104.47 a barrel.