TAMPA, Fla. – Gas prices are falling at a consistency not seen in nearly two years. The average price in Florida and Georgia declined for the 47th consecutive day on Sunday. During that time, prices fell 23 cents in Florida and 27 cents in Georgia. Meanwhile, the average price in Tennessee fell for the 46th day in a row, for a total discount of 27 cents. These are the longest streaks of decline seen at the pump since the period of October 2014 to January 2015, when prices fell 120 consecutive days in Florida ($1.26), 116 days in Georgia ($1.33), and 67 days in Tennessee (79 cents).
"Gas prices are at their lowest level for this time of year since 2004, when average prices ranged from $1.80-$1.90," said Mark Jenkins, spokesman, AAA - The Auto Club Group. "Gas prices are dropping due to abundant fuel supplies and declining crude oil costs. Average prices are 57 cents less than a year ago, and that's motivating millions of Americans to take advantage of cheaper gas to take road trips this summer."
The state average for regular unleaded dipped below the $2 a gallon threshold in Tennessee on July 15. The average price in Georgia should fall under $2 in the coming days. Florida's average could take about two weeks to slide under $2 a gallon, as the price has declined at a rate of 3-5 cents a week.
Percent of gas stations with prices under $2 a gallon
- Florida - 27%
- Georgia - 60%
- Tennessee - 81%
Gas prices are likely to remain relatively low - compared to recent years - through the remainder of the summer and into the fall. U.S. crude oil supplies are about 13 percent higher than a year ago, while gasoline stocks have increased to 240 million barrels as refineries produce significant quantities of fuel. Gasoline supplies for the month of July have never been this high, according to Department of Energy records.
Despite paying the lowest seasonal prices in 12 years, there is always the possibility that unexpected events could lead to higher prices later this summer. For example, crude oil costs could rise due to disruptions in supply, stronger than expected economic growth, or geopolitical tensions overseas. In addition, regional prices could increase due to refinery problems, production cuts, stronger than anticipated demand or hurricanes that impact distribution and production. At the close of Friday’s formal trading session on the NYMEX, WTI was down 56 cents to settle at $44.19 per barrel - the lowest daily settlement since May 16 ($42.72).