While Hermiston is already there, the rest of Oregon is closing in on sub-$2 gasoline, according to AAA.
The Oregon average is closing in on $2 a gallon for the first time since February 2009 while the national average is at its lowest price since January 2009. For the week, the national average for regular drops four cents to $1.79 a gallon. The Oregon average falls eight cents to $2.01. Hermiston motorists are paying between $1.89 and $1.91 on average per gallon.
“Oregon has the third-largest weekly drop in the nation and has fallen 33 cents in the last month which is the third-largest monthly drop in the country,” says AAA Oregon/Idaho Public Affairs Director Marie Dodds. “Drivers are saving more than $1 per gallon from the 2015 peak prices. The national average climbed to $2.80 a gallon last June, while Oregon’s average peaked at $3.15 last July. AAA says the combination of seasonal reductions in gasoline demand and the low crude oil prices are likely to keep pump prices low in the short term.”
The imbalance between supply and demand and the resolution of distribution and refinery issues are contributing to falling prices at the pump. The national average had been under some upward pressure due to regional price spikes, the most notable in California because of lingering refinery issues. These supply challenges appear to be all but resolved, and according to the California Energy Commission, gasoline supply in the state grew for the fourth consecutive week, and erased what had been a year-over-year deficit. Supply in the Midwest is also reportedly at comfortable levels and although prices in the region can be volatile, any upward swings may be offset by falling prices in other regional markets. Barring any major supply or distribution issues, and if the price of crude remains depressed, the national average remains poised to continue lower approaching the spring maintenance season.
Oregon is one of only seven states and the District of Columbia where the average is above $2 a gallon. Hawaii ($2.63) regained its spot at the nation’s most expensive market for gasoline, with California ($2.57) falling to second place as refinery issues in that state appear to be easing and California’s gasoline supply reached its highest mark since 2014. Alaska ($2.41), Nevada ($2.26) and Washington ($2.15) round out the nation’s top five most expensive states. Oregon ($2.01) falls to eighth down from seventh a week ago. Drivers in 25 states are paying averages below $1.75 with the cheapest gas in Missouri ($1.49) and Oklahoma ($1.50).
