(June 26, 2019) U.S. gasoline demand hit its highest level at 9.93 million barrels a day last week, the highest level ever recorded since the Energy Information Administration (EIA) began publishing data in 1991. Counterintuitively, as motorists drive demand to new heights, pump prices pushed even cheaper across the country on the week.

This is due to the recent trend in cheaper crude pricing and because crude comprises roughly 60 percent of the costs people pay at the pump, drivers are seeing summer savings.

When compared to this time last year, domestic crude prices are cheaper by approximately $12 per barrel. Today’s national average is $2.66, which is two cents less than last week and 18 cents less than a month and year ago.

“Filling-up at the pump this summer could mean savings as much as a quarter a gallon,” said Jeanette Casselano, AAA spokesperson. “Cheaper prices could entice motorists to travel more and even take some last minute road trips.”

At the end of last week, a massive fire took Philadelphia Energy Solution’s (PES) Philadelphia, the largest on the East Coast, offline, causing concern of what this could do to gas prices this summer. The incident will likely lead to reduced gasoline production at the refinery.

However, gasoline from Canada, neighboring refineries, and the Colonial Pipeline are likely solutions to help backfill supply, meet demand and relieve any tightness in gasoline supplies as a result of reduced gasoline production at PES’ refinery and keep gas prices cheap throughout summer.

Quick Stats

    The nation’s top 10 largest monthly decreases are: Indiana (-30 cents), California (-26 cents), South Carolina (-24 cents), Michigan (-23 cents), Oklahoma (-21 cents), Arizona (-21 cents), Mississippi (-21 cents), Maryland(-21 cents), Nebraska (-21 cents) and Delaware (-20 cents).

    The nation’s top 10 least expensive markets are: Mississippi ($2.24), South Carolina ($2.24), Alabama ($2.26), Louisiana ($2.26), Arkansas ($2.31), Oklahoma ($2.34), Tennessee ($2.35), Texas ($2.35), Missouri ($2.37) and Virginia ($2.40).