Gas prices keep going down; below $3 possible for North Tahoe? | SierraSun.com

Gas prices keep going down; below $3 possible for North Tahoe?

Staff report

LAKE TAHOE — Gas prices continue to tumble, with Nevada’s average at $2.86 for a gallon of unleaded as of Tuesday, according to AAA — $0.44 cheaper than the state’s last survey on Nov. 11.

In all Nevada metro areas tracked, Carson City has the lowest pump price, with drivers paying an average of $2.79 per gallon for unleaded regular. Elko registers Nevada’s highest metro price, at $2.94 a gallon.

The lowest price on Wednesday in Incline Village (which is not tracked by AAA) was $3.24 a gallon at the 7-Eleven station.

The highest price of gas ever recorded in Nevada was in June 2008, at $4.27 per gallon, according to AAA (again, not counting Incline Village).

“As crude oil costs continue to slide, gas prices are poised to drop even further,” Cynthia Harris, AAA spokesperson, said Tuesday. “Consumers can expect to see the price at the pump tick even lower as we approach the New Year.”

California’s average Tuesday was $2.97 per gallon, and $2.94 in Northern California, $0.25 less than last month. The highest price ever in California was $4.67 a gallon in October 2012.

Similarly, Truckee and North Tahoe communities don’t count toward AAA’s averages. As of Wednesday, according to calforniagasprices.com, the most-common per-gallon price in Truckee was $3.39.

The least expensive average price in Northern California on Tuesday was in Marysville, at $2.75 per gallon. Yreka continues to register the highest price at $3.17.

Tuesday’s national average was $2.66 per gallon, and the price could drip to $2.50 by Christmas, likely falling to its lowest level since 2009, according to AAA.

The average price for retail gasoline historically declines from fall into winter due to a number of factors, including decreased demand, officials said this week.

However, crude oil would have to fall by another $25 to $30 per barrel to cause the national average to drop below $2 per gallon, “which remains unlikely,” according to AAA.

“The price of oil accounts for approximately two-thirds of the price at the pump, and a $10 per barrel drop in the price of crude oil results in about a $0.25 drop in retail prices for motorists,” officials said.