Neb. state average gas price hits $2 mark
Posted: Wednesday, November 19, 2008
OMAHA (AP) -- Gas prices continue to plummet across Nebraska, with the statewide average for a gallon of regular hitting the $2 mark Monday for the first time in more than three years, according to AAA.
"We're in the range now of prices we haven't seen on a statewide average in several, several years, which is great news for consumers," said AAA Nebraska spokesman Mitch Beaumont.
The last time the statewide average fell below $2 was February 2005, he said.
Of the seven Nebraska metro areas surveyed Monday for AAA, Omaha held title to the lowest average. The state's largest city recorded an average price just under $1.91 for regular. North Platte sat on the other end of the spectrum with an average of nearly $2.09 a gallon.
The latest statewide average of $2 is down almost 80 cents from a month ago and $1.16 from a year ago. It's also less than half the record statewide average of $4.10, set on July 15.
Nebraska's average gas price was well below the national average of $2.07.
"I love that they're down," said Sue Bush of Omaha after filling up her sport utility vehicle at a midtown Omaha gas station on Tuesday.
No matter where the prices fall, Bush said, she plans to continue planning her trips to conserve gas and filling up every 10 days, no matter where the needle points.
Station owner Mohammed Nasser said the lower prices have people coming back inside his convenience store to buy candy, a pop or other snacks -- including those who prepaid and overestimated how much they'd spend to fill up. That's good for him.
"Now everybody is happy," he said.
Gas prices have ebbed and surged right along with oil prices, which hit a record of $147.27 a barrel in mid-July. They since have fallen 63 percent.
Light, sweet crude for December delivery fell 56 cents to close at $54.39 a barrel on the New York Mercantile Exchange on Tuesday.
Where prices at the pump go from here will be determined by the crude oil futures market as well as demand, Beaumont said.
"A lot of people have changed their driving habits," he said. "They're driving less. They're driving slower."
Consumption for the week ending Friday was down 2.8 percent from a year ago, but that was the smallest year-over-year decline in more than two months, according to the MasterCard SpendingPulse report. Americans used about 100,000 more barrels per day of gas for the week than they did the previous week.
MasterCard's report is based on aggregate sales activity in the MasterCard payments network, coupled with estimates for all other payment forms, including cash and check.
Beaumont, however, seemed certain the downward trend in gas prices will continue even with the Thanksgiving travel season approaching.
Thanksgiving pricing trends in the last three years have favored consumers, either dropping or remaining steady, he said.
"We're in the range now of prices we haven't seen on a statewide average in several, several years, which is great news for consumers," said AAA Nebraska spokesman Mitch Beaumont.
The last time the statewide average fell below $2 was February 2005, he said.
Of the seven Nebraska metro areas surveyed Monday for AAA, Omaha held title to the lowest average. The state's largest city recorded an average price just under $1.91 for regular. North Platte sat on the other end of the spectrum with an average of nearly $2.09 a gallon.
The latest statewide average of $2 is down almost 80 cents from a month ago and $1.16 from a year ago. It's also less than half the record statewide average of $4.10, set on July 15.
Nebraska's average gas price was well below the national average of $2.07.
"I love that they're down," said Sue Bush of Omaha after filling up her sport utility vehicle at a midtown Omaha gas station on Tuesday.
No matter where the prices fall, Bush said, she plans to continue planning her trips to conserve gas and filling up every 10 days, no matter where the needle points.
Station owner Mohammed Nasser said the lower prices have people coming back inside his convenience store to buy candy, a pop or other snacks -- including those who prepaid and overestimated how much they'd spend to fill up. That's good for him.
"Now everybody is happy," he said.
Gas prices have ebbed and surged right along with oil prices, which hit a record of $147.27 a barrel in mid-July. They since have fallen 63 percent.
Light, sweet crude for December delivery fell 56 cents to close at $54.39 a barrel on the New York Mercantile Exchange on Tuesday.
Where prices at the pump go from here will be determined by the crude oil futures market as well as demand, Beaumont said.
"A lot of people have changed their driving habits," he said. "They're driving less. They're driving slower."
Consumption for the week ending Friday was down 2.8 percent from a year ago, but that was the smallest year-over-year decline in more than two months, according to the MasterCard SpendingPulse report. Americans used about 100,000 more barrels per day of gas for the week than they did the previous week.
MasterCard's report is based on aggregate sales activity in the MasterCard payments network, coupled with estimates for all other payment forms, including cash and check.
Beaumont, however, seemed certain the downward trend in gas prices will continue even with the Thanksgiving travel season approaching.
Thanksgiving pricing trends in the last three years have favored consumers, either dropping or remaining steady, he said.
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