It's peak driving season. But the country is seeing summer gas prices at their lowest since 2004.
Georgia gas prices dipped to $1.99 a gallon today, more than 15 cents below the national average. The low price at the pump comes after 50 days of decline, a consistency not seen in nearly two years.
This is the lowest gas has been in 12 years when average prices ranged between $1.80 and $1.90 per gallon, AAA said.
For Alia Reid, a 24-year-old graduate student at the University of Georgia, that’s had an effect on vacation travel plans in places like Nashville, Amelia Island, Florida and other places around Georgia.
“I’ve definitely thought about driving more than flying because of it,” she said.
For others, it’s about freeing up space in their budget. Joe Weiland, 57, said the savings he sees at the pump will make a difference in the little things.
“I might actually have Starbucks instead of making a $1 stop at McDonalds,” he said.
Two factors are contributing to the decline: abundant supply and decreasing crude oil costs, said AAA.
Currently, the U.S. has 241 million barrels of gasoline stockpiled. It’s the largest amount for this time of year since the government started keeping track.
Earlier this year, the surplus of oil hit historic highs, causing crude to plummet to $26 a barrel in February. While that surplus is dwindling, refiners are just now transferring the overload from one industry to another - creating more jet fuel, diesel and gasoline than needed.
What isn’t decreasing is demand, said Mark Jenkins, a AAA spokesman in a statement.
“Average prices are 57 cents less than a year ago, and that’s motivating millions of Americans to take advantage of cheaper gas to take road trips this summer,” he said.
But for some Georgians, it’s more about peace of mind.
Severne Gainer said he isn’t taking extra road trips and isn’t much of a movie guy so his savings aren’t being spent elsewhere. But he said seeing the low price on a gas station sign before pulling in is a sign of relief.
“Knowing my cost is going to be lower, it makes you feel better,” he said.
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