The U.S. Energy Information Administration (EIA) forecasts rising energy prices through 2011

The U.S. Energy Information Administration (EIA) collects, analyzes, and disseminates independent and impartial energy information to promote sound policymaking, efficient markets, and public understanding of energy and its interaction with the economy and the environment.

These projections reflect updated expectations for economic activity, with forecasted U.S. real gross domestic product (GDP) growth of 2.8 percent in 2010 and 2.3 percent in 2011, down from the previous Outlook's growth projections of 3.1 and 2.7 percent for 2010 and 2011, respectively. The 2011 world oil-consumption-weighted real GDP growth rate is also lowered, to 3.3 percent from the 3.6 percent level in last month's Outlook.

EIA projects that the West Texas Intermediate (WTI) spot price, which averaged $77 per barrel in August, will average $77 per barrel in the fourth quarter of 2010 and $82 per barrel in 2011, slightly below the forecasts in last month's Outlook.

EIA expects that regular-grade motor gasoline retail prices, which averaged $2.35 per gallon last year, will average $2.69 per gallon over the second half of 2010, down 7 cents per gallon from the average for the first half of the year. In 2011, higher projected crude oil prices combined with strengthening refiner margins are expected to boost annual average motor gasoline prices to $2.90 per gallon.

The projected Henry Hub natural gas spot price averages $4.54 per million Btu (MMBtu) for 2010, a $0.60-per-MMBtu increase over the 2009 average, but down $0.15 per MMBtu from the forecast in last month's Outlook. EIA expects the Henry Hub spot price will average $4.76 per MMBtu in 2011, down $0.22 per MMBtu from last month's Outlook.

http://www.eia.doe.gov/steo/contents.html