The argument made by Ben can be supported by computational chemistry. I calculated three conformers of the compound.
Conformation B1 includes an intramolecular hydrogen bond, while in conformation B2 the proton was rotated away from the second hydroxyl group. Conformation C is the staggered one. The displayed structures were optimised in the gas phase.
Computations were performed with Gaussian09 rev. D at the DF-BP86/def2-SVP level of theory. Solvent effects were estimated with the polarised continuum model, taking the dielectric constants as $\epsilon=78.3553$ for water and $\epsilon=2.0165$ for cyclohexane. Energies in $\mathrm{kJ\,mol^{-1}}$. The energies of each row are relative to conformer C.
\begin{array}{lrrr}\hline
\phantom{\hspace{3cm}}
& \hspace{2cm}\mathbf{B1}
& \hspace{2cm}\mathbf{B2}
& \hspace{2cm}\mathbf{C}\\\hline
\text{gas phase} & -7.2 & 10.2 & 0.0 \\
\ce{H2O} & -7.0 & 5.3 & 0.0 \\
\ce{C6H12} & -7.3 & 8.8 & 0.0 \\\hline
\end{array}
As you can see, the intramolecular hydrogen bond accounts for much more than the repulsion between hydroxyl and methyl moieties. While the dihedral angle in B2 is $\angle(\ce{OCCO},\mathbf{B2})=-75.2^\circ$ - larger than expected -, it is smaller than expected in B1 with $\angle(\ce{OCCO},\mathbf{B1})=-57.0^\circ$.
We can assume that the hydrogen bond supplies about $-12$ to $-16~\mathrm{kJ\,mol^{-1}}$ depending on the solvent, which is in quite good agreement of what is known in the literature.
It is remarkable, that the energy difference between B1 and C in the various solvation states is negligible, but in the open form it has quite a significant impact, i.e. a polar solvent stabilises the open form more than an non-polar solvent. This is somewhat a little oversimplification because the used solvent model is quite crude. To obtain a concise picture one would, of course, have to increase the level of theory and treat the solvent explicitly.
Take home message: If you have two hydroxyl groups in proximity, don't forget that there might be an internal hydrogen bond stabilisation.