The last time more than half of regular gas stations were selling for less than $ 2 a gallon was June 18.
“It’s all about demand,” said Tom Kloza, head of oil analysis for Oil Price Information Services, which monitors AAA prices and confirms the number of stations is currently below $ 2.
According to AAA, the average gasoline price nationwide is currently at 2.14 USD. But that overstates the fact that gasoline is expensive, due to rising prices at stations in the high cost states along the West Bank. (Average gas prices are $ 3.18 in California and $ 2.76 in Washington state.) Average prices, which represent the point where half of the nation’s stations sell for more and half sell for lower prices, fell 2 cents to $ 1,999 on Saturday.
In 20 states, mainly in the center of the country and the Southeast, most stations cost less than $ 2. And nine of them – Alabama, Arkansas, Kansas, Louisiana, Mississippi, Missouri, South Carolina, Tennessee and Texas – at least 90 percent of the stations below that price. Even in most states where gas below $ 2 is not the standard, it can be found at a significant percentage at stations.
“I think most people will soon pay between $ 1.75 and $ 2 a gallon. About 75% of stations nationwide are likely to be under $ 2,” Kloza said.
Every state except Alaska, California, Hawaii, Nevada and Washington have gas prices of at least under 2 gallons.
Gasoline price cuts are supported by seasonal factors, as gas prices often drop in the fall. Summer driving season is behind us, consumption cuts and cleaner, more expensive blends needed in the summer to combat smog are no longer in use.
But the combination of low demand and low oil prices is causing prices to fall even further this year. A year ago, the national average was nearly 50 cents a gallon higher at $ 2.61.
“The worst-selling months of each year are January and February,” he said. “But December could be a bad month as well.”