Experts say gasoline demand, prices dropping nationally and statewide
Gasoline demand in the U.S. has decreased to the lowest levels since June, according to an American Automobile Association analysis released Monday.
The analysis found that national gasoline demand is at 8.3 million barrels per day. That’s a significant decrease from 2019’s 9.31 million barrel per day average, according to the U.S. Energy Information Administration.
Supply has also taken a hit, dropping by 3 million barrels. While this would usually cause a price increase, the supply surplus caused by COVID-19 is keeping prices down.
“In a typical year, lower supply levels translate into higher pump prices … that’s just not happening right now,” said Skyler McKinley, AAA Colorado director of public affairs.
“Even amid a steady supply dip, the sustained decrease in demand helped push national gas prices cheaper on the week.”
Today’s national gas price average is $2.19 per gallon, down three cents from last week and 37 cents from this time last year. In Colorado, the statewide average is $2.33, a 2-cent decrease from last week and a 27-cent decrease from last year.
Experts expect gas prices to continue to decrease going into the fall, AAA said.
In Denver, the current average gas price is $2.27, compared to last year’s $2.52. Prices in Durango, Grand Junction and the Boulder-Longmont area have fallen by 56 cents, 34 cents and 21 cents since last year.