Now might be a good time to take that cross-country road trip you’ve always dreamed about. All across the nation, gas prices are falling. According to GasBuddy, a website that provides information and data on gas prices, the national average price for a gallon of gas is now $2.916, the lowest it’s been since Dec. 4, 2010.
“Another week, another big decline in the national average,” writes Patrick DeHaan, senior petroleum analyst with GasBuddy, in a blog post published this morning. “But we’re nearing the point where the decreases are likely to slow unless oil prices continue to tumble from their current levels.”
According to AAA, the national average price for a gallon of gas in 2013 was $3.49. 2012 saw a record high of $3.61.
While the nation is enjoying gas prices under $3 for the first time since 2010, Alabamians have even more reason to celebrate.
The average price for a gallon of gas in Alabama is currently $2.748, nearly 17 cents less than the national average. In fact, according to data gathered by GasBuddy, Alabama has the 6th cheapest gas in the nation. On average, only residents of South Carolina, Tennessee, Mississippi, Texas and Virginia are paying less at the pump.
“We have two different scenarios for gas prices from here on—if oil prices hold their current $80 level gas prices nationally may see their decline wind down,” says DeHaan in a blog post published Nov. 3. “But if oil prices can drop to $78 or less, we could see the national average decline for several more weeks.”
There are several factors that determine the price you pay at your local gas station. According to the U.S. Energy Information Administration, 67% of what you pay is determined by the price of crude oil. When the price of crude oil goes down, gas prices go down. Taxes and refining costs also determine the cost of a gallon of gas.
“While the decreases are likely to wind down, motorists shouldn’t expect any big rebounds before the holidays,” says DeHaan. “Nationally, prices are likely to remain under $3/gal for the holidays.”
GasBuddy included four Alabama cities in its list of average regular gas prices by city.
Mobile – $2.707
Montgomery – $2.745
Huntsville – $2.752
Birmingham – $2.757
GasBuddy also runs alabamagasprices.com, which you can visit to find the cheapest gas near you.