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Gas Prices Continue to Tumble

OPEC's Threats So Far Not Affecting Pump Prices




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By Joe Benton
ConsumerAffairs.com

October 6, 2006

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Gasoline prices have fallen for nine weeks and continue to tumble despite reports that the Organization of Petroleum Exporting Countries will cut production.

The average national price for a gallon of regular unleaded gasoline is $2.28, according to AAA, of Hawthorne, Florida. One month ago, the average was $2.72 a gallon. One month ago regular gasoline cost $2.72 and gallon and one year ago a gallon cost $2.94

Midgrade gasoline sells for an average of $2.43 a gallon, while premium is selling for an average of $2.51.

The cheapest gasoline in the country is found in Staunton, Virginia for $1.79 a gallon. The most expensive gasoline sells in Kailua Kona, Hawaii for at $3.22..

Here is a look at some gasoline prices from around the country in the weekly ConsumerAffairs.com Gas Price Round Up.

Texas: Retail gas prices fell for the ninth straight week and average of $2.17 a gallon, according to the AAA Texas Weekend Gas Watch.

The lowest average on the survey is $2.05 a gallon in Corpus Christi. El Paso has the highest average of $2.348 a gallon. But that is a decline of eight cents.

"Pump prices in Texas have fallen 75 cents within the last nine weeks after reaching a near record high of $2.92 a gallon on July 28th," said AAA Texas spokesperson Rose Rougeau.

"The downturn in gas prices has been aided by lower crude oil prices, rising inventories of oil, a relatively mild hurricane season, and a decrease in demand."

Florida: Though gas prices in Florida have fallen by 44.2 cents since Aug. 27, AAA has warned consumers not to expect that trend to continue.

Randy Bly of AAA Auto Club South noted crude oil prices have dropped from their summer peak price of $78 a barrel to $60 a barrel this week.

Bly said change may be as coming within a few weeks, as the nation's fuel inventory is likely to be reduced as refineries devote more capacity to producing heating oil for the Northeast as well as winter blends of motor fuels.

In Tampa Bay, the average price of self-serve regular is $2.25 a gallon. Fort Myers-Cape Coral has the highest statewide average at $2.49, while Pensacola has the lowest at $2.23.

California: Gas price averages for every Southern California metropolitan area have continued to fall the seventh straight week, according to the Automobile Club of Southern California's Weekend Gas Watch.

The average price of self-serve regular gasoline in the Los Angeles-Long Beach area is $2.68, which is 2.5 cents lower than last week, 40 cents lower than last month and 29 cents lower than last year.

In San Diego, the price is $2.59, 8.5 cents below last week's price, 48 cents below last month and 42 cents below last year.

On the Central Coast, the average price is $2.93, down 6.2 cents from last week, 35 cents below last month and 12.5 cents lower than last year. In the Inland Empire, the average price is $2.63, down 9.5 cents from last week, 47 cents below last month and 36 cents lower than last year.

"Even as prices are falling, consumers should still shop for the best price because some stations will lower their prices more aggressively than others," said Auto Club spokesperson Carol Thorp. "OPEC also said this week that it's considering cutting its output of oil by 1 million barrels a day. But right now pump prices continue to head down in Southern California."



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