Clayton Park|The Daytona Beach News-Journal
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DAYTONA BEACH —Fuel prices on Friday fell again hereto an average of $4.03a gallon for regular gasoline. Mondaymarkedthe fifth consecutive week of steady declines in prices at the pumpfor the Volusia-Flaglerarea after setting an all-time high of $4.89 on June 13.
"It's made a difference," said Daytona Beach resident Kristina Benko as she stopped by the members-only Sam's Club gas station at Tomoka Town Center to refuel her car Monday morning. "I'm paying significantly less at the pump every week the past couple of weeks. It's looking good."
Fuel prices also fell both statewide and nationwide.
"For the first time in a couple months, drivers in some Florida cities are beginning to find pump prices below $4 a gallon," wrote AAA Auto Club spokesman Mark Jenkins in his weekly fuel price report Monday. "Oil prices suffered significant drops last week, clearing the way for additional discounts at the pump."
Why prices arefalling — at least for now
A steep drop in fuel consumptionnationally, despite an increase in milestraveled by U.S. motorists, has helped push gas prices down, according to the latest weeklyreport by the U.S. Energy Information Administration.
The reason may come as a surprise to some: "We estimate that vehicle efficiency improved in the United States by an average of 2% more miles per gallon in April 2022 than in April 2021, suggesting that increased efficiency may have offset increased travel and led to an overall year-over-year decline in gasoline consumption," the EIA stated in its report on Monday morning. "The U.S. average of vehicle miles per gallon has increased 15% since 2007 from an average of 21.3 miles per gallon to an estimated 24.4 miles per gallon during the second quarter of 2022."
The EIA in its short-term energy outlook report on July 12 offered more potentially good news for motorists. "U.S. crude oil production in our forecast averages 11.9 million barrels a day in 2022 and 12.8 million in 2023, which would set a record for most U.S. crude oil production in a year. The current record is 12.3 million, set in 2019," the report stated.
OPEC is also expected to increase oil production the rest of this year as well as in 2023.
Wholesale crude oil and gasoline prices are set globally based on international supply and demand.
"The market is taking it as an indicator that Americanscould be shifting driving habits in response to high prices," said Jenkins. Potential lockdowns in China because of growing concerns about a new strain of the COVID-19 coronavirus are also easing global demand for fuel, he wrote.
"Prices could get even cheaper this week," Jenkins predicted. "However, it's important to remember that the market remains extremely volatile, and prices have the potential to bounce back. That particularly applies to hurricane season. If a major storm makes landfall along the Gulf Coast, impacting operations at refineries in Texas, Louisiana or Mississippi, prices could spike, due to concerns about fuel supplies."
The crude factor: How wholesaleoil pricesaffect what you pay at the pump
The truth about gas prices: You have questions. Here are some of the answers.
How it all began: When gas topped $4 for the first time in more than a decade in Daytona
Dozenslocally now charging less than$4
The cheapest gas prices in Volusia County on Friday morning were atthe members-only BJ's Wholesale Club gas station in Port Orange which was charging $3.64 a gallon forregular gasoline. Dozens more in Volusia County were selling regular gasolinefor less than $4, according to GasBuddy.com, a website and mobile app that tracks gas price changes at individual stations based on motorists' reports. Prices at individual stations can change throughout the day.
In Flagler County, the cheapest fuel could be found on Friday morning at the Hess station at 6701 S. U.S. 1 in Bunnell which was charging $4.09 a gallon for regular gas.
Benko, who works for a bank in Daytona Beach, said she cut back on her driving when gasoline prices looked like they might hit$5 a gallon in early June. "I was trying to drive less, just going to work and home and cut the extra trips because of the prices," she said. "Now, I'm still trying to keep it down, but I'm not cutting back as much."
Where gas prices currently stand
Average price for a gallon of regular gasoline:
DAYTONA BEACH
Friday: $4.039
Thursday: $4.062
Week Ago: $4.223
Month Ago: $4.718
Year Ago: $2.959
Highest Recorded Average Price: $4.895 (June 13, 2022)
Previous Record Average Price (prior to Russia's invasion of Ukraine): $4.117 (July 17, 2008)
FLORIDA
Friday: $4.146
Thursday: $4.174
Week Ago: $4.315
Month Ago: $4.767
Year Ago: $2.977
Highest Recorded Average Price: $4.891 (June 13, 2022)
Previous Record Average Price (prior to Russia's invasion of Ukraine): $4.079 (July 16, 2008)
SOURCE: AAA Auto Club
