Gas Prices on the decline
May 26, 2011 5:05:00 pm
Triple A says prices are down 13-cents here in Houston this week, to an average of $3.69 a gallon. Statewide, the price of gasoline is down 9-cents a gallon. Triple A's Dan Ronan says after spiking for the last couple of months, gas prices are shrinking again.
"We're looking over the last two weeks at a decrease in gas prices as much as 25-cents. Pretty significant. It's going to mean a savings of between $3-5, maybe even a little bit more for people driving and filling up their tanks over the next couple of weeks."
Oil prices have dropped to around $100 a barrel, the main reason for the sharp drop in gasoline prices over the past two week. Ronan says overall, more cars on the road are getting better gas mileage, leading to less demand.
"One of the things that's happening is that the fleet of cars that's out there on the road is becoming more fuel efficient. We're seeing more cars that get higher gas mileage. We're seeing more hybrids. We're seeing more electric. We're seeing more cars that run on alternative fuels. So the amount of gasoline we're using to run our economy and the amount of oil, it's diminishing everyday."
Despite the price decrease, gasoline is by no means cheap. In Houston, motorists are still paying about a dollar more for gasoline than they were at this same time last year.
Story voiced by Laurie Johnson and written by Jack Williams.