Idaho experiences second biggest gas price decrease in America

The following is a news release from AAA Idaho.

IDAHO FALLS — Idaho gas prices are among the most expensive in the nation, but drivers here got some good news this week. According to AAA, Gem State prices dropped three cents, the second biggest decrease in the country next to Michigan. Idaho also moved from 8th to 9th place for most expensive fuel on the week, trading places with Utah.

“It’s pretty unusual for Idaho prices to be cheaper than they are in Utah, where most of our finished gasoline comes from, but we’ll take it,” says AAA Idaho spokesman Matthew Conde. “Any savings provides some much-needed relief and makes a fall weekend getaway or even the daily commute a little easier on the family budget.”

Idaho’s average price Monday for regular is $2.40, which is seven cents less than a month ago, and 36 cents cheaper than a year ago. Meanwhile, the U.S. average held steady on the week at $2.19, three cents less than a month ago and 45 cents less than a year ago. While Idaho prices dropped this week, other states saw large increases, including Florida (+9 cents), Delaware (+6 cents), and West Virginia (+4 cents). 38 of the 50 states saw price fluctuations of just a penny or two.

“As states ease COVID-19 restrictions, there may be areas where gas demand jumps, and prices along with it,” Conde said. “A surge in infections will have the opposite effect. That’s why we think prices in each state could teeter-totter a bit, depending on how things go in the coming weeks.”

Across much of the Gem State, gas prices dropped by a penny or two on the week, with the exception of the Lewiston area, where prices went up by two cents. Local demand may have played a role in the slight uptick.

Regional refinery production rates dropped to 82 percent, a reduction of two percent from the week before, likely due to seasonal maintenance amid the switch to winter blend fuel.

On the national level, demand was mostly stable at 8.5 million barrels per day this week, while gasoline stocks increased by 700,000 barrels. Stocks in the Rockies region grew by 100,000 bbl.

Crude oil prices remain low based on the market’s continuing belief that there is a global oversupply of crude due to the pandemic. On Friday, the West Texas Intermediate benchmark dipped near $37 per barrel but is currently trading near $40 per barrel today. Even so, that’s nearly 13 dollars per barrel cheaper than a year ago. Crude oil prices make up about 50 percent of the price of finished gasoline.

Here’s a sample of gas prices around the Gem State as of Oct. 5:

• Boise – $2.39
• Coeur d’Alene – $2.28
• Franklin – $2.41
• Idaho Falls – $2.29
• Lewiston – $2.44
• Pocatello – $2.43
• Twin Falls – $2.43