Christmas Comes Early at the Pump for U.S. Drivers – Gas Hits $1.99

AAA reports the average U.S. gas price dropped below $2 per gallon this morning for the first time since March 25, 2009. Today’s national average price is $1.998 per gallon. AAA estimates that cheaper gas prices have saved Americans more than $115 billion on gasoline so far this year, which works out to more than $550 per licensed driver.

More than 91 million Americans plan to take advantage of cheaper gas prices to drive 50 miles or more during the upcoming holiday period. Travel by all modes of transportation should be a record, topping 100 million.

“It’s all pretty simple,” said Marilyn Buskohl, spokeswoman for AAA South Dakota. “Gas prices have dropped because there is more than enough oil and gasoline supplies around the world to meet current demand. In addition, gas prices generally fall through early winter because people drive and use less fuel this time of year.”

Gas prices already are much cheaper than $2 per gallon in most parts of the country. The lowest one percent of U.S. stations is selling gas for an average of $1.59 per gallon, and more than 13,000 stations are selling gas for less than $1.75 per gallon. The states with the cheapest averages today include: Missouri ($1.77), Oklahoma ($1.78), South Carolina ($1.78), Tennessee ($1.79) and Kansas ($1.79). Average state and metro prices can be found on AAA’s Fuel Gauge Report website, updated daily: FuelGaugeReport.AAA.com.

AAA predicts gas prices likely will remain low through January, and could drop even further if the cost of crude oil remains weak. By late winter, gas prices may rise 50 cents per gallon or more as refineries conduct maintenance in advance of the busy summer driving season.

Americans are on track this year to drive a record number of miles, largely due to lower gas prices and a stronger economy, based on early estimates by the Federal Highway Administration. Through October, which is the most recent data available, Americans have driven more than 2.63 trillion miles for the year, which is a 3.4 percent increase over the same period in 2014.