With slack demand gas prices continue to dip

IDAHO FALLS, Idaho (KIFI/KIDK) - The latest GasBuddy survey of over 800 Idaho service stations, indicates Idaho gas prices fell 13.8 cents per gallon in the past week to an average price of $2.26 per gallon. The lower price was $1.87 and the highest was $2.99.

According to AAA Idaho Public Affairs Director Matthew Conde, "What we're seeing right now is a one-two punch. On the supply side, disputes over production have motivated Saudi Arabia to flood the market with cheap crude oil, now approaching $20 per barrel. On the demand side, health and safety precautions are keeping many Americans closer to home, including here in Idaho. Both factors are driving down prices at the pump."

GasBuddy petroleum analyst Patrick DeHaan said this is the 38th straight day the national average price of gas has fallen. While the COVID-19 virus parks cars, demand has disappeared.

"There's quite a bit more downside that's in the pipeline coming in the weeks ahead," said DeHaan. "We could easily see the national average fall 50 cents to a dollar per gallon, while pricey states like California will see the biggest drops to come, playing catch up to the drop that has seen twenty nine states average gas prices fall under $2. Motorists should continue to be vigilant if they need to fill their tanks- bring hand sanitizer and potentially wipes, but also shop around as the gap between station widens to historic levels."

Regionally, AAA says every state but Utah saw double-digit price drops over the past week. At $1.97 per gallon, Colorado was the first in the Rockies to fall below $2.

Conde said, "Due to low demand, there's an unusually high amount of winter-blend fuel still available, so the EPA has extended the sale of winter-blend gas," Conde said. "It's a cheaper product to make, and delaying the switch to more-expensive summer-blend fuel will help keep prices down this spring."

GasBuddy keeps an ongoing eye on gas price trends.