Gas Prices Ease at the Pumps

Gas prices this week are down in all four of Oregon's measured metropolitan areas, and in Vancouver, WA.

(PORTLAND, Ore.) - "The price of gas is down a few cents this week, as the price of crude continues to back further away from the record $100 per barrel set two weeks ago." AAA Oregon Public Affairs Director Marie Dodds says the national average and the Oregon average are only a cent-and-a-half apart now.

"The national average for regular unleaded is down about four-and-a-half cents in the past week to $3.061 per gallon, while Oregon's statewide average is down four-and-a-half cents to $3.076. The price of crude is at less than $92 per barrel today."

One reason Dodd cites for the decrease in oil futures, is many investors belief the economy is slowing and that demand for energy is likely to decline.

"There are indications that slower economic activity has caused demand for gasoline to grow at a rate of about one percent, rather than the two to three percent growth we've seen most of this decade."

She says that as a result, gas prices are expected to remain steady or decline somewhat in the short-term. However, severe weather or geopolitical tension in oil-producing parts of the world could send fuel prices higher again. And gas prices are expected to make their traditional move up in the spring as the summer driving season approaches.

"We're still paying much more for gas than we were a year ago. Last year at this time, the national average was almost 83 cents lower than it is now, and the Oregon average was about 43 cents lower."

Gas prices this week are down in all four of Oregon's measured metropolitan areas, and in Vancouver, WA. In Salem and Eugene/Springfield, prices are down six cents. In Portland, prices are down four cents, and in Vancouver and Medford/Ashland, prices are down three cents this week.

Salem's average cost for gas was the lowest at $3.027. Portland drivers are paying a little more for regular with an average price of $3.039 per gallon. The Eugene/Springfield's average cost for gas is $3.087. Motorists in the Medford/Ashland region are paying an average of $3.152. The average price for a gallon of self serve regular in Vancouver, Washington is $3.139.

Oregon's gas prices are now 19th highest in the nation, up from 22nd highest last week, while Washington has the 8th most expensive gas in the nation this week at $3.18. Hawaii continues to have the most expensive gas in the country at $3.49 per gallon, followed by New York at $3.31, California at $3.30, Connecticut at $3.27 and Alaska at $3.22. Missouri has the least expensive gas in the country this week at $2.86 per gallon. At this time, 19 states have average prices below $3 per gallon.

The price of diesel has also declined in the past week. Oregon's average diesel price is down three cents to $3.40 per gallon, compared to $2.85 a year ago. The national average for diesel is also down about three cents this week to $3.42, compared with $2.60 last year. Hawaii has the highest statewide average price for diesel at $3.89.