February Gas Prices are Highest in Four Years
Nashville, TN – Energy prices took a nosedive on the stock market last week and gas prices are declining as a result.
Tennessee gas prices [1] declined 2 cents during the past week. Sunday’s state average of $2.39 is 9 cents less than a month ago and 34 cents more than this time last year.
[2]Gas Prices declining after Crude Price Plunge.
Highest and Lowest Gas Prices in Tennessee
- The most expensive gas price averages in Tennessee are in Johnson City ($2.42), Jackson ($2.42), and Nashville ($2.42)
- The least expensive gas price averages in Tennessee are in Cleveland ($2.35), Knoxville ($2.35), and Chattanooga ($2.36)
- So far, gas prices have averaged the highest for the month of February in four years
- Tennessee is 9th among states with the least expensive gas prices in the country
“Gas prices have the potential to drop 10-15 cents, based on what happened last week,” said Mark Jenkins, spokesman, AAA – The Auto Club Group. “However, refinery maintenance season is fast approaching and could spoil this big break for motorists. Every year – from February to April – reduced refinery output and the switch to summer-blend gasoline normally causes gas prices to rise 30-70 cents. Additional drops in oil prices would help soften the impact maintenance season has on prices at the pump. Expect volatility at the pump as these forces collide.”
U.S. Oil Production Reaches Record Highs
| Average Gas Price in February | |||||
| 2014 | 2015 | 2016 | 2017 | 2018 | |
| National | $3.34 | $2.23 | $1.73 | $2.28 | $2.60 |
| Florida | $3.38 | $2.28 | $1.77 | $2.28 | $2.64 |
| Georgia | $3.22 | $2.16 | $1.67 | $2.19 | $2.48 |
| Tennessee | $3.15 | $2.07 | $1.54 | $2.06 | $2.41 |
Crude oil plunged to its lowest price of the year, last week, dramatically reducing the cost of producing gasoline. Friday’s closing price of $59.20/b is down $6/b from the week before, and the lowest daily settlement since December.
The downturn for energy prices began on Wednesday, when the EIA’s weekly report revealed significant gains in domestic production and inventories. Domestic oil production surged to 10.25 million barrels per day – a new record for weekly production. This was the first time U.S. output exceeded 10 million barrels a day since 1970.
[320left]As crude production roared higher, U.S. crude inventories swelled by 1.9 million barrels. This was the 2nd consecutive week of inventory gains, after declining 11 weeks in a row. At 420.3 million barrels, domestic oil supplies are 0.5 percent higher than a week ago, but remain 4 percent lower than this time last year.
Regardless, the inventory growth was one of the fundamental reasons for the oil price drop.
Gasoline futures lost significant strength last week, dropping 15 cents to $1.70 on Friday. Since hitting a multi-year high of $1.93 on January 29, futures gasoline dropped a total of 23 cents.
Gas Price Tools for Reporters/Consumers
- GasPrices.AAA.com [3] – Daily national, state, and metro gas price averages.
- AAA Mobile app [4] – Free app that shows current prices at a gas station near you.
Highs and Lows of 2017*
- National: the highest average price for gasoline was $2.67 on September 8. The lowest was $2.23 on July 5.
- Florida: the highest average price in was $2.73 on September 9. The lowest was $2.13 on July 17.
- Georgia: the highest average price was $2.76 on September 12. The lowest was $2.08 on July 5.
- Tennessee: the highest average price was $2.60 on September 10. The lowest was $1.99 on July 5.
Current and Past Price Averages
Regular Unleaded Gasoline
 |
Sunday | Saturday | Week Ago | Month Ago | One Year Ago | Highest Price on Record |
| National | $2.583 | $2.589 | $2.604 | $2.508 | $2.279 | $4.114 (7/17/2008) |
| Florida | $2.650 | $2.660 | $2.610 | $2.446 | $2.279 | $4.079 (7/17/2008) |
| Georgia | $2.461 | $2.468 | $2.490 | $2.398 | $2.181 | $4.164 (9/15/2008) |
| Tennessee | $2.392 | $2.396 | $2.411 | $2.299 | $2.054 | $4.118 (9/15/2008) |
| Click here [5] to view current gasoline price averages | ||||||
Gas Price Survey Methodology
AAA updates fuel price averages daily at www.GasPrices.AAA.com [6]. 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 9.4 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 57.7 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 [7]. AAA clubs can be visited on the Internet at AAA.com [8].