The national average for a gallon of gas has continued to rise, but the jump at the pump has slowed and more relief could be on the way. The national average has increased by 10 cents in the past week, now $3.83. Pump prices have primarily risen due to the price of oil. After a midweek dip below the $80/bbl mark, oil prices continued their ascent for the remainder of the week.
“Last month’s widespread, extreme heat played a role in the recent spike in gas prices due to some refineries pulling back production. The good news is, operations are starting to get back to normal,” said Lori Weaver Hawkins, public affairs manager, AAA Blue Grass. “If oil prices start to ease, the current tepid demand could help take some of the steam out of the jolts we’ve experienced lately from tighter supply.”
According to new data from the Energy Information Administration (EIA), gas demand decreased slightly from 8.94 to 8.84 million b/d last week. Meanwhile, total domestic gasoline stocks increased by 1.5 million bbl to 219.1 million bbl.
“Lower gas demand amid increasing supply will likely help to slow price increases in the days ahead, as long as we don’t experience further spikes in the price of oil,” said Weaver Hawkins. She cautions, however, that while original productions had OPEC cutting production by 840,000 to 900,000 barrels per day, the most recent predictions have that number at more than 1 million barrels per day in cuts.
Today’s national average of $3.83 is 31 cents more than a month ago but 34 cents less than a year ago.
Kentucky’s average for a gallon of regular gasoline is down a penny overnight to $3.45, which is 1 cent higher than one week ago, 21 cents higher than a month ago, but still 29 cents less than a year ago. Kentucky now has the 4th cheapest gas in the nation, trailing Alabama by just a fraction of a cent.
The average gas price in Lexington stayed steady, now averaging $3.44. Lexington’s current gas price average is 1 cent lower than it was one week ago but still 13 cents higher than a month ago. Today’s price in Lexington is still 45 cents lower than a year ago.
Around the Commonwealth, the highest county-level average gas price can be found in Jefferson and Oldham Counties, both at $3.70. The cheapest county-wide average price of gasoline in the commonwealth can be found in Henderson County at $3.22.
At the close of Thursday’s formal trading session, WTI crude oil settled at $81.55, still $1.36 higher on the week. Oil prices tumbled Wednesday after the U.S. credit rating declined, increasing market fears that oil demand could also decline if the economy eases. If oil demand drops, prices would likely follow suit. Additionally, the EIA reported that total domestic, commercial crude inventories decreased by 17 million bbl to 439.8 million bbl.
Gas prices around the region and nation
Checking elsewhere, the average price for a gallon of regular today in Ohio is at $3.45, West Virginia $3.58, Virginia $3.66, Indiana $3.77, Tennessee $3.48, Illinois $4.05 and Missouri $3.63. Ohio is the only state bordering Kentucky that doesn’t have a higher average gas price than the Commonwealth.
The highest gasoline average price in the country is California at $5.04, while Mississippi has the lowest average gas price, now at $3.33.
Quick Stats
Since last Friday, these 10 states have seen the largest increases in their averages: Nebraska (+23 cents), Iowa (+22 cents), Minnesota (+19 cents), Florida (+18 cents), Missouri (+18 cents), Oklahoma (+15 cents), South Dakota (+14 cents), Alabama (+14 cents), North Dakota (+13 cents) and New Mexico (+11 cents).
The nation’s top 10 least expensive markets today: Mississippi ($3.33), Louisiana ($3.43), Alabama ($3.45), Kentucky ($3.45), Ohio ($3.45), Tennessee ($3.48), Texas ($3.49), Arkansas ($3.50), South Carolina ($3.53) and Oklahoma ($3.57).
AAA gas-saving tips for summer travel
• Get your vehicle checked out. Perform regular car maintenance at the intervals recommended by the vehicle manufacturer in the owner’s manual or as indicated by the in-car maintenance reminder system. If you have an aging battery, be sure to have it tested before heading out on your trip.
• Keep tires properly inflated. Under-inflated tires can decrease your gas mileage by approximately 3%. Not to mention, properly inflated tires are safer and last longer. Check pressure in all four tires every two weeks with an accurate, hand-held air pressure gauge.
• Know your octane. Do not purchase mid-grade or premium gasoline unless your owner’s manual specifically recommends it. According to AAA research, Americans waste more than $2.1 billion annually on premium gas in vehicles designed to run on regular fuel. AAA found no benefit to using premium gas instead of regular-grade fuel. At the time of the study, 70% of U.S. drivers owned a vehicle that required only regular gasoline.
Avoid idling. Idling gets zero miles per gallon. Letting your vehicle idle for more than 10 seconds uses more gas than shutting it off and restarting. Don’t start your car until you are ready to go. The engine actually warms up more quickly once the car is operating, and will stay warm after stopping. Avoid drive-up windows. Park and go inside instead.
Observe the speed limit. Gas mileage decreases rapidly at speeds above 60 mph. Each 5 mph you drive over 60 mph is like paying an additional $0.15 per gallon of gas. Using cruise control on the highway helps you maintain a constant speed and, in most cases, will save gas.
Drive sensibly. Aggressive driving (speeding, rapid acceleration and braking) wastes gas. It can lower your gas mileage by 33 percent at highway speeds and by 5 percent around town.
Plan your trip. Carefully planning out your road trip can save you time and money. With a little planning, you can avoid retracing your route and reduce the distance you travel as well. You’ll not only save fuel, but also reduce wear and tear on your car.
Minimize drag. Drag reduces fuel efficiency. Driving with the windows open, using roof- or rear-mounted racks and carrying heavy loads increase vehicle drag. A roof rack or carrier provides additional cargo space and may allow you to meet your needs in a smaller, more fuel-efficient car. However, a loaded roof rack can decrease your fuel economy by 5 percent. Reduce aerodynamic drag and improve your fuel economy by using a removable rack and placing items inside the trunk whenever possible. Avoid carrying unnecessary items, especially heavy ones. An extra 100 pounds in the trunk reduces a typical car’s fuel economy by 1-2%.