AAA: Gas Demand Continues Ascent, Leading To Steady National Average Increase

Staff Report From Georgia CEO

Tuesday, May 12th, 2020

Georgia gas prices  increased slightly at the pump compared to a week ago.  Georgia motorists are now paying an average price of $1.64 per gallon for regular unleaded gasoline. Monday's state average is 3 cents more than a week ago, 8 cents less than last month, and $1.05 cents less than this time last year.

It now costs motorists $24.60 to fill a 15-gallon tank of gasoline; that is $16.50 less than what motorists paid in April of 2019, when pump prices hit their peak of $2.74 per gallon.

“As some states begin to re-open businesses, those states will likely see demand increase and pump prices will likely follow suit,” said Montrae Waiters, spokeswoman, AAA – The Auto Club Group. “Gas price fluctuation will continue across the country in coming weeks, especially as more states re-open and motorists begin driving more.”

Crude Oil

Since last Monday, the national average for a gallon of regular gasoline has increased by 6 cents to $1.84. The Energy Information Administration (EIA) released new data that showed demand for gasoline increased by 800,000 barrels a day to 6.7 million barrels a day last week, which is 3.2 million barrels a day less than last year at this time. The boost in demand continues to push pump prices up around the country, as more states re-open businesses. Gas demand is expected to continue to grow, leading pump prices to continue their ascent for the coming weeks.

At the close of Thursday’s formal trading session, WTI decreased by 44 cents to settle at $23.55 per barrel. Although crude prices took a slight back step, they are expected to gain some steam this week, as the market continues to believe that crude demand will increase as more states re-open businesses. However, global crude demand is expected to remain low due to COVID-19, tempering price increases.

 Regional Prices

Atlanta ($1.64)

Most expensive Georgia metro markets –Hinesville-Fort Stewart ($1.75), Savannah ($1.71) and Gainesville ($1.66).

Least expensive Georgia metro markets – Athens ($1.51), Rome ($1.52) and Warner Robins ($1.55).     

CURRENT AND PAST PRICE AVERAGES (Regular Unleaded Gasoline)    

  Sunday Saturday Week Ago Month Ago One Year Ago 2019 Low 2019 High Record High
National  $1.84 $1.83   $1.78 $1.88  $2.87  $2.23 (January) $2.90 (May) $4.11   (7/17/2008)
Georgia  $1.64  $1.63    $1.61  $1.72  $2.69  $2.04 (January) $2.74 (April) $4.16   (9/15/2008)