Energy

Gas Prices Drop to $1.29 Across Oklahoma

Douglas A. McIntyre

Published: January 28, 2016 9:40 am

Last Updated: January 13, 2020 2:26 pm

Gasoline prices may hover around an average $1.80 per gallon of regular nationwide, but in places around Oklahoma the price has dropped to $1.28.

The low Oklahoma prices should not be a surprise. According to GasBuddy, the state has the lowest average among all states, at $1.49 per gallon. However, the lowest price in Oklahoma is only 85% of that.

The region where gas is at $1.28 covers 10 of the 12 locations with the lowest prices in the United States. The other two are in Villa Grove, Ill. When the price level is extended to $1.29 and below, Oklahoma locations take 25 of the top 28 spots.

Most of the stations with low gas prices across Oklahoma are in and around Muskogee and Skiatook, which sit close to Tulsa.

By the way, the highest gas prices are in two locations near Orlando, Fla., one of which sells regular for $5.99 and the other $5.95.

Most of the stations with the highest gas prices in the United States are in and around the large cities in California, which has the highest average price among all states. As a matter of fact, of the 30 stations with the most expensive gas, 26 are in California. These cities include San Francisco, Los Angeles, Thousand Oaks, Studio City, San Bruno, Santa Monica and Glendale.

That national average will go lower, probably much lower. Crude oil prices have dropped to $30. A year ago, the price was nearly $65 a barrel. One main reason for the drop in gasoline prices is the sea of available oil, due in part to a flood from Saudi Arabia, and perhaps to falling demand as the global economy slows. Despite the loud protests of other OPEC members, the kingdom said it will keep pumping.

Oil inventory is not the only factor. Proximity to refineries is also an issue. The average gas price in Louisiana is $1.66, and in Texas it is $1.60. Like Oklahoma, they are near the huge refineries south of Houston and on the Gulf of Mexico, which is dotted by deepwater oil drilling platforms.

Gasoline taxes by state are another factor. The average nationwide is $0.48 per gallon. Oklahoma has the fourth lowest gas and levy rate of all states at $0.35 per gallon. The national average is $0.48, according to the API. The highest is in Pennsylvania at $0.688.

California has the fifth highest gas tax in the United States at $0.59 a gallon, which is likely the reason that gas prices are so high across the state. Residents face gas prices at the high end of the national average, if only for that reason.