TRAVERSE CITY -- Traverse City is making headlines when it comes to the cost of gasoline.

AAA Michigan says Traverse City has the highest  average of gas out of the cities it surveys.  A gallon of gas in the Traverse City area is about  $3.18 a gallon. 

AAA also reports the statewide average of $3.15 a gallon is 54 cents per gallon higher than last year at this time.

Just last week 7 & 4 News reported that some experts estimate the cost of gasoline could rise to as much as $5 a gallon by 2012.

"Our fear is that if it continues to rise, our business will decline. It's not something gas stations want to see happen. It would cause damage to customers and damage to us," explained Mark Griffin, President of the Michigan Petroleum Association

Griffin tells 7&4 News that it is nearly impossible to predict how much gas prices will be in the future, but there are two factors he will be monitoring over time that will determine how much it will cost you to fill up your tank.

"Certainly some of the concern that has been raised recently is, the price of crude oil will continue rise if we keep spending on the federal level, and if we continue to block exploration of drilling of oil."

How closely do you monitor gas prices in your community?  Tell us "Your Point of View" by voting in the poll and leaving your comments.

To see the gas prices around the state CLICK HERE.

To see the full report on the gas price projections by 7 & 4's Lauren Amstutz, click on the link provided below.