AAA: Average gas prices fall below $2 in three states

(WASHINGTON, September 14, 2015) Falling gas prices continue to benefit motorists with three southern states posting averages below $2 per gallon — South Carolina, Mississippi, and Alabama. This is the first time that three states have had averages below $2 since February, according to the weekly gas report by AAA.

The national average price for regular unleaded gasoline has fallen for 28 consecutive days, reaching today’s price of $2.33 per gallon. Drivers are saving six cents per gallon compared to one week ago and 33 cents versus one month ago. Gas prices remain much cheaper than last year due to the relatively low price of crude oil with drivers saving an average of $1.06 per gallon compared to a year ago.

Barring any unexpected disruptions in supply or spikes in the price of crude oil, the national average is expected to keep moving lower as we head into the fall. Pump prices typically decline during this time of year due to lower driving demand after the busy summer driving season and the changeover to cheaper-to-produce winter-blend gasoline, which takes place in many parts of the country starting on Sep. 16.

U.S. drivers continue to benefit from an oversupplied market and consumers could experience even lower prices at the pump if the price of crude oil remains relatively low and refineries are able to conduct planned seasonal maintenance without issue.



On the whole, retail averages are down nationwide, including the three states — South Carolina ($1.94), Mississippi ($1.99), and Alabama ($1.99) — where averages are back below $2 per gallon. The most expensive markets for retail gasoline are west of the Rockies, with drivers in Alaska ($3.28) continuing to pay the highest averages at the pump. Regional neighbors California ($3.17), Nevada ($3.06), Hawaii ($2.97) and Idaho ($2.81) are the top five most expensive markets for gasoline.

With just one exception, motorists in every state are experiencing savings in the price of retail gasoline week-over-week. Averages are down by a nickel or more in 30 states and Washington, D.C., and pump prices in Indiana (-14 cents), Illinois (-13 cents), California (-10 cents) and Michigan (-10 cents) have dropped by double-digit increments over this same period. Outside of this trend is Ohio, where prices have climbed higher by three cents per gallon versus one week ago.

Monthly price comparisons show consumers nationwide are paying less to refuel their vehicles. With the exception of Utah (-2 cents), drivers across the nation are saving more than a dime per gallon at the pump month-over-month and prices are discounted by a quarter or more per gallon in more than half (26) of the states.

The largest discounts in price over this same period have been in the Midwestern states of Indiana (-81 cents), Michigan (-75 cents), Ohio (-66 cents) and Illinois (-62 cents), where prices continue to retreat following the resolution of localized refinery issues.