Home services in Indianapolis to take hit with higher gas prices
The upward trend of gas prices in Indianapolis will likely have sharper upticks this spring and summer, according to Dr. Wallace Tyner, professor of energy economics at Purdue University. Tyner says Indianapolis can expect a spike in prices at the pump starting in late March or early April and predicts a gallon of gas could approach $4 in the peak driving months of May and June.
“The last time we hit $4, consumers just mentally hit a switch,” says Tyner. “They started riding buses more. They started buying fuel-efficient cars.”
Consumers aren’t the only ones who will focus on fuel efficiency. Service companies will also be impacted by the cost increase — not only in their travel expenses, but also on supplies.
“We are going to need to be more careful with where we are going and make less trips,” says Justin Capehart, co-owner of highly rated Capehart Landscape and Design, adding that he sometimes drives from 500 to 700 miles in a week. “We are going to try to bring all the supplies at once and so we don’t have to leave a job site.”
Capehart says the rise in fuel prices is a definite consideration as his company sets rates for this year.
“It’s the last thing you want to do,” he says. “We will try everything else before passing [the costs] on to the customer.”
Rick Campbell, president and owner of highly rated Rick Campbell Builder Inc., says some contractors simply won’t have a choice but to charge more. The home builder says as the price for supplies swells in relation to fuel costs, consumers can expect to pay more for many home improvement services. He’s already seen memos from suppliers warning of higher costs and has been hit with a $6 increase in concrete per cubic yard. Even if fuel prices drop drastically later, Campbell says supplies typically don’t decrease in response.