Media Contact: Matt Skryja
Walnut Creek, CA., July 10, 2012
Pump prices around the Silver State continue to slide down like an overheated traveler at a water park. It may be fun, but it can’t last forever. According to the latest report from AAA Northern California, Nevada and Utah Insurance Exchange, which tracks gas prices as a service to consumers, every metro area in Nevada saw a drop in its average price over the past month.
The average price in Nevada for regular, unleaded gasoline is $3.49, a decline of 33 cents from last month. Last year at this time, the average price in Nevada was $3.54 a gallon. That means there has been a year-to-year decrease of five cents. The national average price of $3.38 is down by 16 cents, which is 25 cents less than the national price on this date last year, when it was $3.63.
The highest gas price of the Nevada metro areas tracked by AAA is in Elko. The average price in this metro area is $3.75 for regular, unleaded. North Las Vegas and Las Vegas tied for the Silver State’s lowest pump price found in metro areas tracked by AAA. Drivers in those metro areas are seeing an average price of $3.42.
“The recent drop at the pump was largely driven by lower crude oil prices around the globe. The decline is linked to a slew of concerns about global economic weakness, including worries about sovereign debt in Europe, signs of a slowing economy in China, and bearish economic data in the United States,” said AAA Northern California, Nevada and Utah Insurance Exchange spokesperson Matt Skryja. “Investors typically pull back on their buying when there’s a weaker global economy because demand for crude oil is expected to drop. This puts downward pressure on prices.”
In the beginning of July, these concerns for global crude oil demand have taken a backseat to supply concerns, which has now spurred a recent increase in oil prices. For example, the Iranian government responded to western sanctions on Iranian oil imports with military drills and reports that the country might interfere with oil distribution through the Strait of Hormuz, through which one-third of global seaborne oil is transported. The increased possibility of disruption to supply in the region puts upward pressure on prices. Also, worker strikes continued at the Statoil plant in Norway, which produces some 1.2 million barrels of crude oil per day. With global supply already tight following sanctions on Iran, additional supply disruptions would be expected to put upward pressure on oil prices.
Nevada has dropped to the 14th highest average state price in the nation. Among the lower 48 states, the highest average state price reported by AAA was achieved by California, which reached an average price of $3.70. It was also the third highest in the nation. The highest state price in the entire country is Hawaii, at $4.42. Alaska has the second highest price in the nation at $4.09.
The least expensive gasoline in the country is found in the Greenville-Spartanburg-Anderson, South Carolina metro area. The average price of gas in that metro area is $2.98. Wailuku, Hawaii, holds the dubious crown for the highest average price in the nation, at $4.41 per gallon. The highest price reported by AAA in the lower 48 states is in Eureka, California, where the average price is $3.98.
To get the best mileage possible, AAA recommends keeping tires at the proper pressure suggested by the vehicle manufacturer, performing routine maintenance and making sure fluids are clean and belts and hoses are in good repair. The way you drive can also impact fuel economy. Smooth driving to avoid sudden stops and starts, planning errands and lightening your load also help conserve gasoline.
One way consumers can reduce the amount of money they spend on fuel is to shop aggressively for the lowest price. AAA offers text alerts via mobile phone for low gas prices in your area. Start saving today at www.aaa.com/gas.
AAA’s Fuel Gauge Report is the most comprehensive retail gasoline survey available, with over 100,000 self-serve stations surveyed every day, nationwide. Data is provided in cooperation with OPIS Energy Group and Wright Express, LLC.
AAA Northern California, Nevada and Utah Insurance Exchange offers automobile, homeowners and other personal lines of insurance to AAA members through partnerships with AAA clubs. It is one of the largest personal lines insurance companies in the United States and is rated A+ by A.M. Best.
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