Gas Price Brief - September 4, 2018

TROPICAL STORM GORDON STEERS TOWARD REFINERIES

Gas prices unchanged as storm strengthens

TAMPA, Fla. (September 4, 2018) — Millions of motorists traveling over the weekend paid the most expensive Labor Day gas prices in four years. Prices could get even more expensive, depending on the path and severity of Tropical Storm Gordon.

The National Hurricane Center expects Gordon to strengthen into a hurricane before making landfall somewhere between the Louisiana and Florida coastlines. So far, the storm has not affected gas prices, but that would change if refineries suffer damage or go offline. Refineries in Louisiana and Mississippi began making preparations for the storm on Monday. As of press time, no refineries, oil rigs or platforms have shut down.

The Gulf Coast is home to nearly half (45%) of the nation's refinery capacity. Last year, pump prices surged after Hurricane Harvey made landfall in Texas as a category 4 storm, causing mass flooding and refinery outages. Energy production dropped approximately 21% as a result. Although oil prices didn't change much, gasoline futures jumped 47 cents within 5 days of Harvey's arrival. Fifteen days after landfall, gas prices in the southeastern U.S. had climbed 40-50 cents.

"It's too early to know just how much of an impact - if any - Gordon will have on prices at the pump," said Mark Jenkins, spokesman, AAA - The Auto Club Group. "Market watchers will pay close attention to how refineries respond to this storm. Any supply outages would likely cause prices to climb."

Summer Gas Prices Were Highest in Four Years

Summer gas prices average their highest price in four years. From June 1 - August 31, the price for regular unleaded averaged $2.87 nationwide, $2.77 in Florida, $2.74 in Georgia, and $2.63 in Tennessee. Crude oil prices averaged $68.56 per barrel this summer - nearly $20 more than the summer 2016 - which raised the price of gasoline production.

Gas prices on Labor Day were also the most expensive in four years. On average, prices at the pump were 50-60 cents more than last year's holiday.

Regional Gas Prices

Gas prices in Florida are higher than a week ago. The state average of $2.80 per gallon is 7 cents more than last week, and 17 cents more than this time last year. The state average rose 8 cents last week, in anticipation of strong holiday demand; then leveled off over the weekend.

Click here to view AAA's state and metro gas price averages

• The most expensive gas price averages in Florida are in West Palm Beach-Boca Raton ($2.89), Miami ($2.83), and Panama City ($2.83)
• The least expensive gas price averages in Florida are in Punta Gorda ($2.74), Jacksonville ($2.76), and Tallahassee ($2.76)

Gas prices in Georgia are slightly higher than a week ago. The state average of $2.70 per gallon is 1-cent more than last week, and 3 cents more than this time last year.

Click here to view AAA's state and metro gas price averages

• The most expensive gas price averages in Georgia are in Atlanta ($2.74), Savannah ($2.70), and Brunswick ($2.70)
• The least expensive gas price averages in Georgia are in Catoosa-Dade-Walker ($2.57), Augusta-Aiken ($2.59), and Warner Robins ($2.59)

Gas prices in Tennessee are slightly higher than a week ago. The state average of $2.59 per gallon is a half-cent more than last week, 7 cents less than last month, and 6 cents more than this time last year.

Click here to view AAA's state and metro gas price averages

• The most expensive gas price averages in Tennessee are in Jackson ($2.66), Nashville ($2.64), and Memphis ($2.62)
• The least expensive gas price averages in Tennessee are in Cleveland ($2.46), Chattanooga ($2.50), and Kingsport-Bristol ($2.53)

Gas Price Tools

• GasPrices.AAA.com - Daily national, state, and metro gas price averages
• AAA Mobile app - Free app that compares gas prices near you
• Gas Cost Calculator - Determine how much gasoline will cost on your next road trip

CURRENT AND PAST PRICE AVERAGES

Regular Unleaded Gasoline

	Monday	Sunday	Week Ago	Month Ago	One Year Ago	Highest Price on Record
National	$2.837	$2.837	$2.838	$2.873	$2.620	$4.114 (7/17/2008)
Florida	$2.796	$2.800	$2.725	$2.763	$2.628	$4.079 (7/17/2008)
Georgia	$2.695	$2.696	$2.691	$2.768	$2.668	$4.164 (9/15/2008)
Tennessee	$2.593	$2.595	$2.589	$2.655	$2.525	$4.118 (9/15/2008)
Click here to view current gasoline price averages

Gas Price Survey Methodology
AAA updates fuel price averages daily at www.GasPrices.AAA.com. Every day up to 130,000 stations are surveyed based on credit card swipes and direct feeds in cooperation with the Oil Price Information Service (OPIS) and Wright Express for unmatched statistical reliability. All average retail prices in this report are for a gallon of regular, unleaded gasoline.

About The Auto Club Group
The Auto Club Group (ACG) is the second largest AAA club in North America. ACG and its affiliates provide membership, insurance, financial services and travel offerings to over 9.6 million members across eleven states and two U.S. territories including Florida, Georgia, Iowa, Michigan, Nebraska, North Dakota, Tennessee, Wisconsin, Puerto Rico and the U.S. Virgin Islands; most of Illinois and Minnesota; and a portion of Indiana. ACG belongs to the national AAA federation with more than 59 million members in the United States and Canada and whose mission includes protecting and advancing freedom of mobility and improving traffic safety. Motorists can map a route, identify gas prices, find discounts, book a hotel, and access AAA roadside assistance with the AAA Mobile app for iPhone, iPad and Android. Learn more at AAA.com/mobile. Visit AAA on the Internet at AAA.com.