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SALT LAKE CITY — A pair of economic factors are helping lower the average price for a gallon of gas and may result in more relief at the pump in the near future, AAA experts wrote in a report published on Monday.
It also appears that Utah is slowly benefitting, too.
Prices are still much higher than a year ago, but the national average fell 15 cents from last week and 46 cents from last month, entering Monday at about $4.52 per gallon for regular, unleaded gas.
Utah's average remains at about $5.08 per gallon, but that's down 11 cents from last week. A few counties have even dropped below $5 per gallon again, according to the automotive association.
Utah's average has also fallen 18 cents per gallon from its new record high of $5.26 per gallon set at the start of the month. The average surpassed $5 for the first time in history on June 9.
So what's driving this decline after months of rising prices? AAA cites a lower demand across the country and a lower global price for oil for the possible "summertime swoon."
The global price for a barrel of oil dropped from about $110 to the mid-$90s, the report states. It closed on Friday at $97.57 per barrel. Meanwhile, the Energy Information Administration reported that demand for gas in the country dropped from 9.41 million barrels per day to 8.06 million per day within a week. Experts add that gas prices will continue to drop if these trends continue.
"Global economic headwinds are pushing oil prices lower and less expensive oil leads to lower pump prices," said Andrew Gross, a spokesman for the association, in a statement Monday. "And, here at home, people are fueling up less, despite this being the height of the traditional summer driving season. These two key factors are behind the recent drop in pump prices."
The District of Columbia experienced the largest drop in prices over the past week, falling 21 cents; however, South Carolina, at $4.02 per gallon, leads the nation with the cheapest gas this week. At $5.90 per gallon, California continues to have the highest gas prices — though that's down about 19 cents from last week.
Despite the drop, the national average price remains $1.36 per gallon ahead of mid-July last year. Utah's average entering the week is about $1.29 per gallon above the time last year.
It is also worth noting that prices did fall after an initial surge in early March, only to rise again at the end of April.
Where gas is cheapest and most expensive in Utah
Juab County ($4.82 per gallon) has the lowest gas prices in Utah, while Piute County ($5.40) has the most expensive prices at the start of this week. The higher prices appear to be in south-central and northeast Utah, while the lowest prices are in parts of central and eastern Utah, according to AAA.
Lowest averages this week
- Juab County: $4.82
- Duchesne County: $4.87
- Sevier County: $4.93
- Tooele County: $4.99
- San Juan County: $5.01
Highest averages this week
- Piute County: $5.40
- Rich County: $5.26
- Wayne County: $5.25
- Summit County: $5.25
- Beaver County: $5.24
