Gasoline Panic in NC

The Charlotte Observer writes in Consumers Enraged By Gas Price Spike that "when Hurricane Ike struck the Gulf Coast, it shut down 14 oil refineries." (My comment - The Colonial Pipeline which transports fuel to the southeast and northeast regions has also been disrupted.)

The Observer goes to report:

The effects of that shutdown are being felt nationally as a fuel shortage leads to spikes in prices and runs on gasoline from Tennessee to New York. The impending gas shortage forced N.C. Gov. Mike Easley and S.C. Attorney General Henry McMaster this week to activate anti-gouging provisions. The laws prohibit companies from charging unreasonably high prices."

The news from South Carolina is even worse. Half of the 26 Midlands stations visited by The State newspaper on Saturday were either out
of fuel or out of one or more grades of gas. Station operators were
unsure when their next shipments would be delivered.

Is this irrational panic by the gas consumer? Is this a simple matter of supplier price gouging? How long will it last? Over at Mish's Global Economic Analysis, there is a good overview of this in Gasoline Shortages And Higher Prices Likely Headed Your Way . Essentially, the consumer will have no choice but to conserve gas.

Update 9/14 - Check gasbuddy.com to see latest average gas prices in the U.S. and Canada. Currently Charlotte's average is $4.141 per gallon; Knoxville has the most expensive gas at $4.847.