
The national gas price average dropped by four cents on the week to $2.60, despite a jump in gasoline demand and a draw in gasoline stocks. That is the largest one-week decrease since gas prices started to increase more than six weeks ago. Today’s average is a nickel cheaper than last month and 21-cents cheaper than last year at this time.
“On the week, more than half of all states saw gas prices decrease,” said Jeanette Casselano, AAA spokesperson. “A handful of Great Lakes and Central states saw the largest declines at the pump, while pump prices primarily increased in the West Coast and Rockies regions.”
Refinery maintenance across the country continues, though utilization rates have increased in the last week. This could mean further declines to the national average in the weeks ahead if demand drops.
Quick Stats
The nation’s top 10 largest weekly changes are: Indiana (-14 cents), Ohio (-14 cents), Michigan (-14 cents), Kentucky (-11 cents), California (-8 cents), Florida (-7 cents), Alaska (+7 cents), Nevada (-6 cents), Illinois (-6 cents) and Wisconsin (-5 cents).
The nation’s top 10 least expensive markets are: Louisiana ($2.23), Mississippi ($2.24), Texas ($2.25), Alabama ($2.27), South Carolina ($2.27), Missouri ($2.28), Arkansas ($2.29), Oklahoma ($2.29), Virginia ($2.29) and Tennessee ($2.30).
West Coast
Pump prices in the West Coast region continue to fluctuate after a number of refineries in the region underwent planned and unplanned maintenance over the past few weeks. This includes the Olympic Pipeline, which can transport 300,000 b/d of refined products in the region. The pipeline reduced its capacity to undergo unplanned work last week. The pipeline is expected to operate at reduced capacity this week, which will likely put pressure on tight supplies in the region and cause prices to remain high. Additionally, regional power cuts may take some gas stations offline in areas impacted by the fires in California, potentially putting pressure on pump prices.
California ($4.06) and Hawaii ($3.66) are the most expensive markets in the country. Nevada ($3.38), Washington ($3.42), Oregon ($3.34), Alaska ($3.14) and Arizona ($2.90) follow. California (-8 cents) and Nevada (-6 cents) saw the largest decreases, while Alaska (+7 cent) saw the largest increase on the week.
The Energy Information Administration (EIA) report for the week ending Oct. 18 showed that total West Coast gasoline stocks mostly held steady from 26.23 million bbl to 26.25 million bbl. The current level is approximately 700,000 bbl lower than this same time last year. Tighter supplies will continue to keep prices high this week, but as refineries resume normal gasoline production levels and imports enter the region, pump prices are expected to continue stabilizing.