Oh what a relief it is: Gasoline in Utah fell 11¢ in past month

Published: Thursday, Oct. 20 2005 9:59 a.m. MDT

Utah drivers are finally seeing some relief at the gas pump, according to the latest findings from AAA Utah.

The statewide average for a gallon of regular unleaded gasoline is $2.78, AAA Utah reported Wednesday, down 11 cents from one month ago but 81 cents higher than the same time last year. The highest recorded average price for a gallon of regular unleaded gas in Utah was $2.91, set on Sept. 10, 2005.

Rolayne Fairclough, spokeswoman for AAA Utah, said recovery efforts following the summer hurricanes along with decreased demand have brought prices lower. But AAA warned that recovery efforts at oil refineries along the Gulf Coast may be hindered if Hurricane Wilma follows her predecessors.

"There has been a decrease in demand," Fairclough said. "We don't know if that's because of the high prices or if people are just conserving more. But we have seen a decrease."

The drop in demand has been accompanied by a drop in oil prices. Light, sweet crude for November delivery fell 79 cents to settle at $62.41 a barrel Wednesday on the New York Mercantile Exchange.

The average national price for a gallon of regular unleaded gasoline is $2.74, AAA reported. That price is 22 cents lower than last month, but 73 cents higher than October 2004.

All but one of the Utah cities surveyed by AAA Utah reported a price decline. Salt Lake City saw the biggest drop, 17 cents, to an average price of $2.69. Provo's average price fell 10 cents to $2.76, while Ogden's current average is $2.77 per gallon. St. George reported a 7-cent decrease to a new average of $2.86. Moab's average price remained unchanged, at $2.96.

AAA Utah surveys a limited number of communities across the state in its monthly gasoline price survey, and the resulting figures are averages. Individual service stations sell gas at both higher and lower prices, sometimes even in the same city block.

Motorists throughout the Intermountain region also saw lower gas prices, according to the AAA survey. Idaho's average price for a gallon of regular unleaded is $2.84, 9 cents lower than last month's average. Wyoming's average price is $2.78, 14 cents lower than one month ago, while Arizona saw a 24-cent drop to an average price of $2.82 per gallon. Nevada's average price fell 16 cents to $2.85. California's price remained the highest in the region, despite an 11 cent drop, to an average of $2.92.

"Refineries are opening again after Katrina and Rita, along with more pipelines and delivery systems," Fairclough said. "If we can keep these delivery systems up, and keep demand decreased, we could see prices keep going down before Thanksgiving. But that's a lot of ifs."


Contributing: The Associated Press

E-mail: jnii@desnews.com

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