Kentucky gas prices holding steady after 22-cent climb

Average US gas price rises 22% in two weeks to record $4.43

LEXINGTON, Ky. (AP/WTVQ) – The average U.S. price of regular-grade gasoline shot up a whopping 79 cents over the past two weeks to $4.43 per gallon.

Industry analyst Trilby Lundberg of the Lundberg Survey says Sunday the new price exceeds by 32 cents the prior record high of $4.11 set in July 2008. Lundberg said gas prices are likely to remain high in the short term as crude oil costs soar amid global supply concerns following Russia’s invasion of Ukraine.

Nationwide, the highest average price for regular-grade is in the San Francisco Bay Area, at $5.79. The lowest average is in Tulsa, Oklahoma, at $3.80.

In Lexington, after cresting above $123 per barrel shortly after Russia’s invasion of Ukraine, AAA reports the price of crude oil has gradually fallen below $110. If this trend holds, AAA says it may remove some but not all of the extreme upward price pressure consumers have found at the pump.

The cost of oil accounts for the majority of the price that consumers see at the pump. According to AAA, the war is agitating an already tight global oil market.

According to new data from the Energy Information Administration (EIA), total domestic gasoline stocks decreased by 1.4 million barrels to 244.6 million barrels last week. Meanwhile, gasoline demand rose slightly from 8.74 million barrels a day to 8.96 million barrels a day.

“The increase in gas demand and a reduction in total supply contribute to rising pump prices,” says Lori Weaver Hawkins, public and government affairs manager, AAA Blue Grass. “But, increasing oil prices play the lead role in pushing gas prices higher. Consumers can expect the current trend at the pump to continue as long as crude prices climb.”

According to AAA, Monday’s national average for a gallon of gas at $4.33, is 26 cents higher than a week ago, 84 cents more than a month ago and $1.47 cents more than a year ago.

Kentucky’s gas price average is now at $4.03, soaring 22 cents in the past week, 82 cents over a month ago and $1.33 cents more than a year ago, according to AAA.

Checking nearby, the average price for a gallon of unleaded in Ohio is at $4.08, West Virginia $4.11, Virginia $4.23, Tennessee $4.11, Indiana $4.24, Illinois $4.57 and Missouri $3.84.

GAS PRICES FROM AAA
March 14, 2022

Average price per gallon of self-serve, regular gasoline.
Gas prices provided by AAA http://gasprices.aaa.com/

 

 

Today

Change Since Yesterday

Last Week

Last Month

Last Year

National

$4.33

No change

$4.07

$3.49

$2.86

Kentucky

$4.03

No Change

$3.81

$3.21

$2.70

Lexington

$3.99

No Change

$3.75

$3.24

$2.76

Covington

$3.99

No Change

$3.76

$3.16

$2.70

Huntington-Ashland (KY only)

$4.00

No Change

$3.72

$3.23

$2.51

Oil Market Dynamics

At the close of Friday’s formal trading session, WTI increased by $3.31 to settle at $109.33. Crude prices surged then eased last week in response to President Biden announcing a ban of Russian energy imports, including crude oil. Crude prices have eased as the market continues to find replacement barrels of oil and further supply growth for the tight market becomes apparent. However, the market remains volatile and additional disruptions or escalation of the current crisis in Ukraine could cause prices to surge again this week. Additionally, EIA reported that total domestic crude stocks decreased by 1.8 million bbl last week to 411.6 million bbl. The current stock level is approximately 17% lower than at the end of February 2021, contributing to pressure on domestic crude prices.

Drivers can find current gas prices along their route with the free AAA Mobile app for iPhone, iPad, and Android. The app can also map a route, find discounts, book a hotel, and access AAA roadside assistance. Learn more online HERE.

AAA provides these tips for saving money on gas:

Get your vehicle checked out. Perform regular car maintenance at the intervals recommended by the vehicle manufacturer in the owner’s manual or as indicated by the in-car maintenance reminder system. Did you delay regular maintenance during the pandemic because you were driving less?  Now is the time to get caught up. A clean air filter, fuel system maintenance and more can all impact your vehicle’s fuel economy. Find a AAA Approved Auto Repair Facility here.

Keep tires properly inflated.  Under-inflated tires can decrease your gas mileage by approximately 3 percent, while properly inflated tires are safer and last longer. Check pressure in all four tires every two weeks with an accurate, hand-held air pressure gauge.

Know your octane. Do not purchase mid-grade or premium gasoline unless your owner’s manual specifically recommends it. According to AAA research, Americans waste more than $2.1 billion annually on premium gas in vehicles designed to run on regular fuel. AAA found no benefit to using premium gas in place of regular-grade fuel unless specifically called for. At the time of the study, 75% of U.S. drivers owned a vehicle that required only regular gasoline.

Avoid idling.  Idling gets zero miles per gallon. Letting your vehicle idle for more than 10 seconds uses more gas than shutting it off and restarting. Don’t start your car until you are ready to go. The engine actually warms up more quickly once the car is operating, and will stay warm after stopping. Drive-up lanes can have your car idling for long periods. Instead, park and go inside instead.

Observe the speed limit.  Gas mileage decreases rapidly at speeds above 60 mph. Each 5 mph you drive over 60 mph is like paying an additional 15 cents per gallon of gas. Using cruise control on the highway helps you maintain a constant speed and, in most cases, will save gas.

Drive sensibly.  Aggressive driving (speeding, rapid acceleration and braking) wastes gas. It can lower your gas mileage by 33 percent at highway speeds and by 5 percent in the city.

Consolidate trips. Combining errands into one trip saves you time and money. Several short trips taken from a cold start can use twice as much fuel as a longer multi-purpose trip covering the same distance when the engine is warm. With a little planning, you can avoid retracing your route and reduce the distance you travel as well. You’ll not only save fuel, but also reduce wear and tear on your car.

Minimize drag.  Drag reduces fuel efficiency. Driving with the windows open, using roof- or rear-mounted racks and carrying heavy loads increase vehicle drag. A roof rack or carrier provides additional cargo space and may allow you to meet your needs in a smaller, more fuel efficient car. However, a loaded roof rack can decrease your fuel economy by 5 percent. Reduce aerodynamic drag and improve your fuel economy by using a removable rack and placing items inside the trunk whenever possible. Avoid carrying unneeded items, especially heavy ones. An extra 100 pounds in the trunk reduces a typical car’s fuel economy by 1-2 percent.

AAA has a variety of resources to help motorists save on fuel:

 For more information about AAA, click HERE.

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