The Return Of The Commute Hack
With gas prices still high amid the conflict in the Middle East, more people are turning to hybrid vehicles, which help improve fuel economy by adding at least one electric motor for propulsion. But a CBS News report shows that high gas prices are not only pushing people into more efficient cars, but also toward public transportation.
The report stated that Amtrak saw a 5% increase in passengers in March compared to a year earlier. Meanwhile, bus company Trailways saw a 9% increase in April over the same period, with some passengers opting to take the bus for long-distance travel instead, as airfares have reportedly risen by 15% due to increasing jet fuel prices.
Gas Prices Could Redefine Demand
It has only been a few months since gas prices surged, but the shifts happening in the transportation sector could still bring major long-term changes to the car industry, including reduced demand for new vehicles, particularly larger, less fuel-efficient models like pickup trucks. The growing preference for efficiency was also reflected in Honda’s sales last month, when the automaker’s hybrid lineup – including hybrid versions of the CR-V, Civic, and Accord – reached an all-time April high.
There is also reportedly growing interest in electric vehicles, though that may not fully translate into sales because of slowing EV demand, particularly in the U.S.
While some are turning to public transportation to combat high gas prices, others are starting to carpool. Not only does that help car owners save money on fuel, but it can also reduce emissions by putting fewer cars on the road while still moving more people.
Artūras Kokorevas/Pexels
Public Transportation Has Momentum
But despite growing demand for public transportation – with Trailways saying it is looking to hire more drivers and buy more buses – the report stated that the company has not raised fares yet.
However, conditions could change if more drivers start facing the anticipated $5-per-gallon mark around Memorial Day. Gas prices can vary by state, which helps explain why California – with its steep gas taxes – tends to have higher prices. As a result, some drivers there are crossing into Arizona to gas up and save as much as $3 per gallon. But hey, respect the effort when every gallon counts.
Bruno Coelho
