Energy Economy

Gasoline Prices Drop Further as Summer Driving Season Ends

Paul Ausick

refilling the car
Source: Thinkstock
A gallon of gasoline costs less today than at the beginning of any of the past four Septembers, and the price is expected to continue dropping as people drive less and cheaper winter-grade fuel begins to make its way to retailers. Miles driven fell by nearly 10% month-over-month from August to September 2013.

The national average price for a gallon of regular gas on Thursday is $3.432, according to AAA, one tick lower than Wednesday’s $3.433, and two ticks below last week’s price of $3.434. A month ago a gallon of gasoline cost $3.50, and a year ago the price was $3.589. Gasoline cost an average of $3.95 a gallon across the United States in the summer of 2008.

U.S. consumers deserve a break on gasoline prices. AAA reports that the summer average price per gallon was $3.58, the fourth highest on record and just a few ticks less than last summer. The summer driving season started with the highest seasonal prices in years and ended with the lowest seasonal price in four years.

AAA reported that the national average price of a gallon of gas in August was $3.46, the lowest since August 2010. In June, just after this year’s summer driving season started on Memorial Day, the average price of a gallon of gas was $3.67.

The five states with the lowest gas prices today are South Carolina ($3.17), Mississippi ($3.18), Virginia ($3.18), Alabama ($3.20) and Tennessee ($3.21). The five states with the highest prices are Hawaii ($4.28), Alaska ($4.02), Washington ($3.88), Oregon ($3.87) and California ($3.84).

AAA also noted that currently about 70% of U.S. gas stations are selling gasoline for less than $3.50 a gallon and about 25% are selling gasoline for less than $3.25 a gallon. The most common price is $3.299 per gallon.

ALSO READ: IEA Chops Oil Demand Growth Estimate