Gas Prices Expected to Hit Three-Year Record Low Over Labor Day Weekend
Time to hit the road.
The end of summer is near in the Northern Hemisphere, and that typically means lower fuel prices at gas pumps across the country. This year, however, it seems we're in for a bigger-than-usual treat as AAA reports that gas prices will hit a three-year record low over Labor Day weekend.
According to the agency’s latest research, the national gas price average is expected hit its lowest point since 2016 at $2.59 per gallon of regular, when compared to last year’s average of $2.83 and 2017’s rate of $2.63.
“For Americans who bookend summer with road trips, they will find gas prices this coming weekend that are cheaper than this past Memorial Day and last year’s Labor Day holiday,” Jeanette Casselano, a spokesperson for AAA said in a statement. “At the start of the week, two-thirds of all states have gas price averages that are nearly a quarter cheaper than last year.
The reason? Regional utilization of refineries is down while stocks for gasoline companies increased. In the classic study of supply and demand, there’s simply more than enough gas to go around to keep prices low, according to the Energy Information Administration.
Some of the biggest savings are found in the Mid-Atlantic and Northeast regions, where gas is an impressive 19 cents cheaper than last year, while the South and the Southeast could see prices come close to the $2 per gallon mark. The AAA observed the biggest individual decrease in the state of Indiana, which is down by 10 cents this week alone.
The western region of the country, however, continues to see the country’s most expensive gas prices, but they’re anticipated to see some relief in the coming weeks as well.