GAS PRICES?? Whatcha gonna do!!

[HummerNewbie]

April 21 (Bloomberg) -- U.S. Energy Secretary Samuel Bodman said the switch to ethanol in gasoline may cause supply disruptions for several months.

At least six filling stations in Philadelphia and the surrounding region were out of fuel yesterday because of the switch, according to AAA, the nation's largest motorist organization. Refiners are seeking to replace the additive MTBE in gasoline by May because of changes in fuel requirements in the energy bill that President George W. Bush signed in August.

``We're going to see some problems,'' he told reporters after giving a speech at a conference in Washington. ``I do believe over a period of time -- that is, a matter of months -- it will level out.''

Bodman said the country's supply of ethanol is adequate overall. The logistics of shipping the additive by barge, rail and truck may cause regional disruptions, he said. Rules that lower the acceptable level of sulfur in diesel fuel and refinery maintenance delayed by last year's hurricanes are also boosting supply concerns, he said.

The U.S. average gasoline pump price is climbing toward $3 a gallon, a level last seen in September after Hurricane Katrina, partly because of concern about supply problems related to the switch to ethanol.

The average U.S. pump price for regular gasoline has risen 14 percent this month to $2.855 a gallon as of yesterday, up from $2.218 a year ago, according to AAA's Web site.

Record crude oil is also pushing pump prices toward their all-time high. Crude oil for June delivery rose $1.48 to $75.17 a barrel today on the New York Mercantile Exchange. Today was the first time crude topped $75, and the fourth straight day setting a record.