Gas Prices Back Over $2 a Gallon as Summer Driving Season Approaches

CARS.COM — Gas prices have risen for 24 straight days to a national average of $2.06 for regular and are now the highest they've been since early-December, the AAA Daily Fuel Gauge Report said Thursday. AAA predicted gas could rise another 25 cents by Memorial Day as seasonal refinery maintenance and the annual switch to summer gasoline blends continue to pinch supplies at the pump. The national average for regular gas climbed 31 cents a gallon during March, AAA said.

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Summer gas blends that are less prone to evaporate in warmer temperatures are mandated in many parts of the country by June 1. AAA said refineries adjust production during March and April so they can sell off winter blends to make room for the summer gas.

"This reduction in supply often leads to higher prices at the pump, because during this transition period, demand for gasoline generally begins to increase as warmer temperatures motivate more drivers to take to the roads," AAA said in a statement. "The combination of the above factors generally contributes to rising prices at the pump, leading into the busy summer driving season."

Western states have seen higher price increases the past month compared with other parts of the U.S. Statewide averages jumped 40 cents in California, 45 cents in Nevada and 57 cents in Arizona. California has the most expensive gas with a $2.79 average for a gallon of regular, followed by Hawaii at $2.59, Nevada at $2.44, and Alaska and Washington at $2.29.

Missouri had the lowest statewide average, $1.83, followed by New Jersey, $1.84; Oklahoma, $1.85; and South Carolina, $1.86. (Prices fluctuate throughout the day and could change.)

The national average for premium gas increased 28 cents the past month to $2.52 a gallon, but diesel rose only 12 cents to $2.10. Diesel prices typically rise during the winter, but this year's milder winter weather reduced demand for heating oil, which is derived from the same type of oil as diesel fuel.

Despite the recent increases at the pump, when motorists fill their tanks they are still saving more than pocket change compared to a year ago. Regular gas is cheaper by 35 cents on average, premium by 30 cents and diesel by 73 cents. The savings are even greater in some states: Regular gas is 58 cents cheaper than a year ago in Illinois and Oregon, and 62 cents cheaper in Alaska.

Today's prices are a bargain compared to the end of March in 2014 and 2015, when the national average for regular was more than $3.50. Moreover, AAA said Thursday that the average price for regular during the first quarter of 2016 of $1.86 was the lowest in a dozen years. AAA estimates that the average licensed driver saved $45 on gas during the first quarter compared to last year.



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