LUBBOCK, Texas – Gasoline prices across the state continue to drop thanks to cheaper crude oil prices, according to a news release from AAA Texas.
The statewide average price for a gallon of regular unleaded fuel was $2.43 on Saturday.
Texas drivers are paying a little over 30 cents less per gallon compared to the same time last year.
Crude oil prices are a driving factor when it comes to gasoline prices and account for nearly 60% of the price drivers see at the pump, AAA Texas said.
West Texas Intermediate (WTI) crude oil prices have ranged between $65 and $66 per barrel this year. However, the price most recently fell to as low as $51 per barrel.
“With most refineries operating at normal levels, demand at robust rates, and cheaper crude oil prices, summer gas prices are poised to remain lower than last year,” said Daniel Armbruster, AAA Texas spokesperson.
AAA Texas is monitoring a number of circumstances that could cause crude oil market prices to increase. This includes reductions in global and domestic crude supply, exports, and U.S. gasoline demand.
For domestic gasoline demand, summer 2019 has been forecasted to reach some of the highest levels on record in the U.S. Meanwhile, domestic gasoline stocks are at their lowest level going into June since 2016. If demand rises while gasoline stocks remain low, pump prices could see modest increases, especially if supply is tight in local markets.
The national average price for a gallon of regular unleaded was $2.76 on Saturday