The operator of the Colonial Pipeline is expected to announce on Wednesday a timetable for resuming service of its vital fuel pipeline, which stretches from Texas to New Jersey and has been shut down since Friday after a ransomware attack.
At best, it would take several days and probably at least through the weekend to return gasoline, diesel and jet fuel shipments to normal. At worst, any delays could further encourage the panic buying that left thousands of outlets out of gasoline in Tennessee, Georgia and several other states in the Southeast, pushing up regional fuel prices.
Over the last few days, Colonial has opened segments of the pipeline manually to relieve some supply pressures in a few states, including Maryland and New Jersey. But anxiety has persisted despite the assertions of industry analysts that the impact of the shutdown would remain relatively minor as long as the artery was fully restored soon.
Gasoline in Georgia and a few other states rose 8 to 10 cents a gallon on Wednesday, a price jump typically seen only when hurricanes interrupt Gulf of Mexico refinery and pipeline operations.
A gallon of gas increased an average of 10 cents in South Carolina and 6 cents in North Carolina on Wednesday, while gas in Virginia rose about 8 cents a gallon. Before the pipeline was shut down, gas prices were edging higher, as they typically do as summer approaches. Over the past week, gas has jumped 24 cents in Georgia and 18 cents in South Carolina.
Filling stations in Southern states were selling two to three times their normal amount of gasoline on Tuesday, according to the Oil Price Information Service, an organization that tracks the oil sector. Some stations are running out of fuel while others are limiting purchases to 10 gallons.
Gov. Brian Kemp of Georgia signed an executive order suspending his state’s gasoline tax through Saturday, which amounts to roughly 20 cents a gallon. Gov. Roy Cooper of North Carolina, Gov. Ralph Northam of Virginia and Gov. Ron DeSantis of Florida each declared a state of emergency in an effort to suspend some fuel transport rules.
American Airlines said it had added stops to two daily flights out of Charlotte, N.C. One, to Honolulu, will stop in Dallas, where customers will change planes. The other, to London, will stop in Boston to refuel. The flights are expected to return to their original schedules on Saturday.
Southwest Airlines said it was flying in supplemental fuel to Nashville, and United Airlines said it was flying extra fuel to Baltimore; Nashville; Savannah, Ga.; and Greenville-Spartanburg International Airport in South Carolina.
The post The Colonial Pipeline operator is expected to announce a plan to resume service. appeared first on New York Times.