The price of gasoline remains much higher than normal, but at least it’s moving in the right direction. Prices fell sharply just about everywhere this past week.
AAA’s daily fuel price survey shows that the national average price of regular gas is $4.25 a gallon, down from $4.41 a week ago. Despite the rapid decline over the last three weeks, the average price remains above the previous record price of $4.11 a gallon that was set in July 2008.
The average price of premium gas is $5.00 a gallon, which is 16 cents lower than last Friday. The average price of diesel fuel is $5.31 a gallon, which is 14 cents less than last week.
Prices have fallen for two reasons: Oil prices have retreated from recent highs, and demand has fallen. With motorists driving less, fuel supplies remain plentiful. But there are signs that this situation could change in the coming days.
Patrick DeHaan, head of petroleum analysis at GasBuddy, reported Thursday that U.S. gasoline demand is up 1.04% from last week and is the highest of any Sunday through Wednesday period so far this year, exceeding the week ahead of July 4. That could mean prices at the pump will level off soon. In the meantime, many states enjoyed large declines in gas prices.
The statewide average price of regular dropped by 25 cents a gallon in Oklahoma and Kansas this week. The average price dropped by 18 cents in Illinois and Kentucky; 17 cents in Texas, Arkansas, and Tennessee; and 16 cents a gallon in South Carolina.
States with the most expensive gas
These states currently have the highest prices for regular gas, according to AAA:
States with the cheapest gas
AAA reports that these states currently have the lowest prices for regular gas:
South Carolina ($3.79)