The average price at the pump statewide has dropped by more than 10 cents over the last 30 days and could continue falling to around $3 a gallon by the end of this year, AAA Public Affairs Specialist Don Redman said Monday. (mgnonline.com)
Last Modified: Monday, December 10, 2012 7:13 PM
The average price at the pump statewide has dropped by more than 10 cents over the last 30 days and could continue falling to around $3 a gallon by the end of this year, AAA Public Affairs Specialist Don Redman said Monday.
Redman said the statewide average is $3.15 a gallon — down from last month’s average of $3.27 a gallon. The Lake Charles metropolitan area is averaging $3.12 for a gallon of gasoline.
Redman said the lower prices are largely because the demand for gasoline typically drops in December. He said January and February are considered the “slowest periods of the year” for gasoline demand. However, the average price for this past January was around $3.15 a gallon, which was “higher than we’ve ever seen.”
Another factor that has led to a drop in prices is that some refineries resumed operation after being shut down because of Hurricane Isaac, Redman said.
“We have a very good inventory of gasoline in our market,” he said. “A lot of the infrastructure issues in California and the Midwest have settled down.”
Redman said the national average for gasoline is $3.34 a gallon — up from $3.29 last year.
Redman said motorists should not get comfortable with the dropping prices because the market is very volatile.
“We’re in a very news-driven market,” he said. “Suddenly things could turn ugly in Syria or the Middle East, and we could see prices come to a standstill.”
According to Louisianagasprices.com, the cheapest gas in Lake Charles on Monday was $2.97 a gallon at Sam’s Club on Nelson Road. In Sulphur, the cheapest gas was $3.01 a gallon at the Circle K on La. 27 and La. 108.
The cheapest gas in Westlake was $3.07 a gallon at the Circle K on Guillory Street and Houston River Road. In Iowa, the cheapest gas was at the Citgo on North Thompson Avenue at $2.99 a gallon.