Pump and Circumstance: Prices Fall Following Sandy

 

Phoenix, Nov. 1, 2012. It’s going to take more than a hurricane to affect Arizona’s fuel prices. Over the past week, prices in the state have continued to drop, falling 5.8 cents to $3.629 per gallon. Nationwide, prices have decreased 9.2 cents to $3.507 per gallon.

 

In the aftermath of Hurricane Sandy, oil refineries on the East Coast remain closed, although initial reports of damages are minimal. In advance of the storm, the temporary loss of refining capacity caused gasoline futures to rise sharply. However, demand destruction far outweighed this factor as tens of millions of motorists were forced to stay home as Hurricane Sandy approached.  

 

“Hurricane Sandy impacted an area that is a major consumer of gasoline rather than a major producer, and as a result, did not have a significant impact on fuel prices,” said Linda Gorman, director of communications and public affairs for AAA Arizona. “Conversely, the demand destruction caused by Sandy has the potential to pressure prices lower in regions such as the Gulf Coast, which could apply further downward pressure on Arizona fuel prices. Looking ahead, AAA expects that motorists will continue to experience price relief throughout November.”

 

Tucson and Flagstaff hold the low and high state fuel averages at $3.385 and $3.850 per gallon, respectively. Missouri and California hold the lowest and highest average prices for the lower 48 states at $3.149 and $4.075 per gallon, respectively.

City

Today’s Price

Change from last week

Premium

Diesel

Last Year’s Price

East Valley
(Mesa, Gilbert, Chandler, Tempe, Ahwatukee, Apache Junction, Queen Creek)

$3.608

-7.5

$3.874

$4.032

$3.283

Flagstaff

$3.850

-5.0

$4.062

$4.334

$3.565

Glendale

$3.620

-5.5

$3.894

$4.061

$3.275

Peoria

$3.602

-6.0

$3.874

$4.128

$3.257

Phoenix (city)

$3.626

-5.8

$3.891

$4.059

$3.292

Pima County

$3.401

-5.3

$3.614

$4.073

$3.229

Prescott
(Tri-Cities)

$3.685

-7.6

$3.915

$4.238

$3.378

Scottsdale
(Scottsdale, Fountain Hills)

$3.723

-6.0

$3.998

$4.167

$3.391

Tucson

$3.385

-5.3

$3.605

$4.060

$3.213

Yuma

$3.673

-9.1

$3.871

$4.010

$3.422

Statewide

$3.629

-5.8

$3.863

$4.113

$3.330

National

$3.507

-9.2

$3.837

$4.047

$3.437

E-85

$3.191

-3.6

-

-

$3.081

*E85 MPG/BTU adjusted price

$4.199

-4.8

-

-

$4.055

 

As an advocacy organization representing the motoring public, AAA offers a variety of free resources to help motorists keep fuel budgets in check, including: 

*The BTU-adjusted price of E-85 is the nationwide average price of E-85 adjusted to reflect the lower energy content as expressed in British Thermal Units. The BTU-adjusted price is calculated and displayed as part of AAA’s Fuel Gauge Report because according to the Energy Information Administration, E-85 delivers about 25 percent fewer BTUs by volume than conventional gasoline. Because “flexible fuel” vehicles can operate on conventional fuel and E-85, the BTU-adjusted price of E-85 is essential to understanding the cost implications of each fuel choice for consumers.

 

AAA’s Fuel Gauge Report includes data from gasoline stations in every Arizona community. Local prices in some communities might be higher or lower than the averages shown here. This service is updated daily by the Oil Price Information Service (OPIS) with average national, state and local prices for gasoline, diesel and E-85. Every day, more than 100,000 stations are surveyed in cooperation with Wright Express for unmatched statistical reliability.