The EIA predicts fuel prices will be at their lowest since 2009 this summer
Drivers in the United States are expected to pay the lowest gas prices this summer since 2009, reports the Energy Information Administration (EIA). Drivers are projected to pay an average of $2.45/gallon for regular gasoline this summer (April through September), down 32% from $3.59/gallon during the summer of 2014.
The lower consumer gas prices are due in large part to the low oil price environment, allowing refiners to produce retail gasoline for less. For summer 2015, the Brent crude oil spot price is projected to average $58/bbl, which translates to $1.38/gallon for the crude oil portion of the gasoline price. During the summer of 2014, Brent averaged $106/bbl, or $2.52/gallon, says the EIA.
The news comes at a perfect time for drivers in the U.S. as they gear up for summer road trips. “The glut in global petroleum supplies has come at the perfect time as people hit the road,” Michael Green, a spokesman for AAA, said. “Even if demand rises, there’s more than enough petroleum to supply motorists this summer.”
U.S. motorists drove a record 237.3 billion miles in January, the most for that month in government data going back to 1970, reports Bloomberg. January driving grew by 4.9% over the previous year, the biggest increase in 15 years.
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