Independence Day Gas prices will be the Lowest in Five Years

By  AAA, Special for  USDR

Nearly 42 million Americans will travel between July 1 and July 5 to celebrate Independence Day, the most in eight years, according to AAA. This year’s numbers are up 0.7 percent from last year’s numbers, in addition to be the highest level of travelers since 2007. In addition to fireworks on the 4th, drivers will also see the lowest Independence Day gas prices in at least five  years.

The national average for a gallon of gas is $2.78, 88 cents less than the average price on Independence Day last year.  In the past three years, gas prices have declined in June and July, hovering above that year’s lowest prices to that  point.

Gasoline prices are falling because of lower crude oil prices, which account for about two-thirds of the price U.S. drivers pay for a gallon of gasoline. Where will they go next? The US has increased oil production overall and many refineries are resuming normal production. But, there are still some problems. For example, California, a state that relies on a lot of regional production, has had problems with their refineries. As a result, California’s gas prices are the highest in the US at $3.46 per  gallon.

Based on EIA’s gasoline price forecast, the average U.S. household is expected to spend about $700 less on gasoline in 2015 compared with 2014, as annual motor fuel expenditures are on track to fall to their lowest level in 11  years.

Experts at Consumer Energy Alliance (CEA) are available to discuss the gas price trend and how this will help consumers this summer, as well as the relationship between energy resource development and a thriving U.S.  economy.

All opinions expressed on USDR are those of the author and not necessarily those of US Daily Review.