Average diesel prices nearing seven-year low

By Land Line staff | 1/11/2016

The average price of a gallon of on-highway diesel decreased 3.4 cents from last week to $2.177 per gallon for the week ending Monday, Jan. 11. This marks the lowest nationwide weekly average since March 23, 2009, when diesel prices were $2.09.

Diesel price averages went down in all 10 regions in the U.S., according to the Energy Information Administration. The largest average decrease was in the Rocky Mountain region, where prices at the pump dropped 5.7 cents per gallon. Prices were down nine-tenths of a cent in the New England region, the smallest decrease in the nation.

Following are the average prices by region as reported by the EIA:

  • U.S. – $2.177, down 3.4 cents
  • East Coast – $2.229, down 3.1 cents
  • New England – $2.335, down nine-tenths of a cent
  • Central Atlantic – $2.35, down 4.1 cents
  • Lower Atlantic – $2.116, down 2.7 cents
  • Midwest – $2.096, down 3.4 cents
  • Gulf Coast – $2.08, down 3.4 cents
  • Rocky Mountain – $2.134, down 5.7 cents
  • West Coast – $2.426, down 3.8 cents
  • West Coast less California – $2.258, down 4.5 cents
  • California – $2.562, down 3.3 cents

According to ProMiles, the average retail price at truck stops was $2.095 on Monday morning, a 3.1-cent decrease from last week.

ProMiles, the software company that maintains the websites ProMiles.com and TruckMiles.com, continues to offer its own weekly fuel price information. The company’s fuel price data are presented in the same format used by the EIA in the agency’s weekly reports. The prices include a national average as well as regional averages, and comparisons to the previous week and the previous year.

A key difference between the EIA and ProMiles reporting is the type and number of fueling stations the company surveys in order to calculate its averages. While EIA surveys 400 truck stops and convenience stores nationwide, ProMiles uses its direct feed from thousands of truck stops to develop its averages.

TruckMiles.com listed the daily average price for Monday at $2.153, with truckers in Washington State paying an average of $2.532 per gallon, the highest in the nation. Truckers in Missouri are paying a national low of $1.834 per gallon, according to the site. No states in the Lower 48 states have been listed in excess of $4 per gallon at the pump since Dec. 4, 2014. All 48 states in the contiguous U.S. have average prices below $3. Twelve states are reporting prices below $2, three more than last week.

In separate energy news, according to the New York Mercantile Exchange, light sweet crude (also known as West Texas Intermediate) for February delivery was trading at $31.26 at noon CDT on Monday, a $5.50 decrease from last Monday and a $1.90 decrease from its last trading price. The price of Brent crude oil for February settlement was listed at $31.51, a $5.71 decrease from last Monday and a $2.04 decrease from its last trading price.

According to Bloomberg, crude oil stocks dropped to a 12-year low on Monday. Oil prices have fallen every day in 2016, with a steep drop of $2.17 for WTI and $2.19 for Brent on Jan. 6. Brent’s premium over WTI has been below a dollar since Dec. 31 after it rebounded from a six-day streak below WTI prices. AAA has indexed diesel prices at $2.211 for Monday, 80 cents cheaper than this time last year and 15.6 cents less than a month ago.

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