Energy

Gas Prices Hover Near $2 In Nine Cities

Empty Gas Station
Source: Thinkstock
Gas prices have reached $2.34 for a gallon of regular and are moving higher from $1.93 a year ago. However, in nine cities, the price is barely above $2. All are in Texas, Oklahoma, South Carolina, and Tennessee.

The nine cities and their prices are Lubbock TX at $2.07, Knoxville TN at $2.08, Chattanooga TN at $2.08, Amarillo TX at $2.09, Oklahoma City OK at $2.09, San Antonio TX at $2.09,  Spartanburg SC at $2.09, Columbia SC at $2.09, and Tulsa OK at $2.09 according to GasBuddy. South Carolina, Oklahoma, and Tennessee have the lowest gas prices among the states.

For the most part, these cities have not been hurt as badly as  others in the U.S. by rising oil prices. Crude oil prices are at $53, up from $45 in early August. Oil prices continue to be the largest component in gas prices, by far.

Among the important advantages for some of the nine cities have is proximity to refineries. Texas and Oklahoma are near the refineries south of Houston on the Gulf of Mexico.

Another substantial advantage for the cities is that they are in states with low gas taxes and levies. South Carolina has the second lowest gas taxes among the 50 states, just above Alaska, at $.3515. Oklahoma is third at $.354. Texas is eighth at $.384, Tennessee is tenth at $.398. The national average is $.4944. The state with the highest gas taxes is Pennsylvania at $.766.

Gas prices may continue to surge toward $2.50. However, drivers in these nine cities will likely enjoy prices which continue to be at the low end of the spectrum

 

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