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Tag: gas prices

  • Cheaper Gas Coming Soon

    Cheaper Gas Coming Soon

    Colorado pump prices to dip by at least a quarter.

    DENVER (Dec. 19, 2019) – Good news, Colorado: AAA forecasts that Centennial State motorists will enjoy some of the country’s most significant savings on gas heading into the new year, with pump prices expected to plummet by as much as a quarter in the coming weeks. The reason? Increasing gasoline stocks coupled with an anticipated seasonal demand drop will together drive prices down.

    Regional gasoline stocks have averaged 7 million barrels since early October, per data from the Energy Information Administration. Refinery utilization rates, meanwhile, have hovered around 85 percent or higher. Those two factors, combined with the seasonal switch-over to winter-blend gasoline – which is cheaper to produce and sell – are driving down gas prices.

    “Pump prices are finally trending downward in Colorado in what has been an abnormally expensive regional gas market, of late,” said AAA Colorado spokesman Skyler McKinley. “The even better news is that 2019’s prices are down nearly a dime from 2018, thanks in large part to cheaper crude oil prices.”

    On a year-to-date basis, Colorado’s 2019 statewide average for a gallon of regular unleaded is $2.57, down from $2.68 in 2018. Gas prices hit their highest point in June, at $2.87, and their lowest in February, at $2.01. Colorado has enjoyed the cheapest gas prices of any state in AAA’s Rockies analysis region – comprising Idaho, Montana, Utah, Wyoming, and Colorado. 

    Oil Market Dynamics

    Colorado’s anticipated savings may be short-lived.

    While crude oil prices have consistently fallen year-over-year, they may hover consistently above $60 per barrel as the Organization of the Petroleum Exporting Countries and its partners continue to reduce production, lowering global supply.

    Earlier this month, OPEC and other major global producers, including Russia, announced an agreement to cut their total crude production by an additional 500,000 barrels per day beginning on January 1, 2020. This new agreement will likely remain in effect, without amendment, until the next OPEC meeting in Vienna, Austria on March 5. 

    “This reduction in global crude supply will help drain the market, which will likely otherwise be oversupplied during the first half of next year,” McKinley said. “This could lead to more expensive crude oil and gas prices in mid-to-late January as compared to the start of recent years, assuming crude demand remains robust.”

    Colorado Gas By the Numbers

     Durango

    • Current Average: $2.57
    • Yesterday Average: $2.58
    • Week Ago Average: $2.57
    • Month Ago Average: $2.65
    • Year Ago Average: $2.54

    Denver

    • Current Average: $2.68
    • Yesterday Average: $2.69
    • Week Ago Average: $2.72
    • Month Ago Average: $2.74
    • Year Ago Average: $2.29

    Colorado Springs

    • Current Average: $2.70
    • Yesterday Average: $2.70
    • Week Ago Average: $2.75
    • Month Ago Average: $2.75
    • Year Ago Average: $2.34

    Pueblo

    • Current Average: $2.73
    • Yesterday Average: $2.74
    • Week Ago Average: $2.83
    • Month Ago Average: $2.87
    • Year Ago Average: $2.52

    Boulder-Longmont

    • Current Average: $2.73
    • Yesterday Average: $2.73
    • Week Ago Average: $2.76
    • Month Ago Average: $2.75
    • Year Ago Average: $2.30

    Greeley

    • Current Average: $2.74
    • Yesterday Average: $2.75
    • Week Ago Average: $2.78
    • Month Ago Average: $2.79
    • Year Ago Average: $2.37

    Fort Collins-Loveland

    • Current Average: $2.76
    • Yesterday Average: $2.77
    • Week Ago Average: $2.78
    • Month Ago Average: $2.79
    • Year Ago Average: $2.40

    Grand Junction

    • Current Average: $2.80
    • Yesterday Average: $2.81
    • Week Ago Average: $2.86
    • Month Ago Average: $2.89
    • Year Ago Average: $2.57

    Glenwood Springs

    • Current Average: $3.09
    • Yesterday Average: $3.09
    • Week Ago Average: $3.13
    • Month Ago Average: $3.16
    • Year Ago Average: $2.83

    Vail

    • Current Average: $3.19
    • Yesterday Average: $3.20
    • Week Ago Average: $3.24
    • Month Ago Average: $3.29
    • Year Ago Average: $2.84

    Winter Fuel & Driving Tips

    As you hit the road this winter, AAA offers these tips to help conserve fuel and keep motorists safe:

     

    • As a precaution, keep at least half a tank of fuel in your vehicle at all times. It helps to reduce condensation in the fuel system. It also helps ensure an adequate reserve of fuel to run the engine for heat should your car become disabled in a remote location.
    •  
    • Optimize your daily driving.  Maintain steady speeds. A car uses extra fuel accelerating.  Cruise control may be a fuel saving option for motorists who drive a lot because a steady speed conserves fuel.  This is helpful when driving on level roads.  Cruise control, however, hurts mileage if you drive on hilly terrain.  
    • Minimize last-minute braking. Anticipate traffic conditions. Be alert for slow-downs and red lights and coast up to them, if possible. Drive smoothly, avoiding “jackrabbit starts.” The faster you drive, the more fuel used. Remember, however, that traveling slower than traffic flow can cause a safety hazard.
    •  
    • Don’t haul extra weight in the passenger compartment or trunk.   Reducing extra weight can save up to 2% fuel economy for every 100 lbs. removed depending on the weight of the vehicle. Also lose the roof rack, if not used regularly. Carrying things on a roof rack increases aerodynamic drag and reduces fuel economy – year-round.
    • Look into discounts. For example, AAA members can now save 30 cents per gallon on their first fill up, and 5 cents per gallon on every other fill-up, by signing up for the Fuel Rewards program by December 31, 2019. More information at com/Shell

    • Be sure to pack an emergency roadside kit in your car containing a mobile phone and car charger, first-aid kit, blankets, drinking water and snacks, a flashlight with extra batteries, a basic toolkit, warning flares, an ice scraper, jumper cables and a shovel.

     

    About AAA Colorado

    More than 695,000 members strong, AAA Colorado is the state’s greatest advocate for the safety and security of all travelers. As North America’s largest motoring and leisure travel organization, AAA provides more than 60 million members with travel, insurance, financial, and automotive-related services — as well as member-exclusive savings. A not-for-profit organization since its founding in 1923, AAA Colorado has been recognized as the number one Colorado company its size for its advocacy, community engagement, and corporate social responsibility efforts – and is a proud member of Points of Light’s “The Civic 50 Colorado,” recognizing the 50 most community-minded companies in the state. For more information, visit AAA.com.

     

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  • New Record: 1.96 Million Coloradans Traveling for Holidays

    More Coloradans traveling for holiday season than ever before. 

    DENVER (Dec. 20, 2019) – A record-shattering number of Coloradans – more than 1.96 million – will travel over the course of this holiday season, spanning Saturday, Dec. 21 through Wednesday, Jan. 1. That represents Colorado’s highest year-end travel volume on record since AAA tracking began in 2000, and an increase of more than four percent over 2018. 

    “The end of the year wraps up a decade of historic growth for Colorado, and many Coloradans are taking the news in stride, marking the eighth straight year of successive record-high travel volumes for the year-end holidays,” said AAA Colorado spokesman Skyler McKinley. “We’re lucky to enjoy historically low unemployment and meaningful year-over-year improvements in disposable income and household net worth, and folks are celebrating by hitting the roads and taking to the skies.”

     

    By the Numbers: 2019 Year-End Travel Forecast

    • Automobiles: The vast majority of Colorado travelers – 1.78 million – will drive to their holiday destinations, joining the ranks of 104.8 million Americans on the road. 
    • Planes: Nearly 120,000 Coloradans will travel by air for the holidays, with 6.97 million Americans taking to the skies in total – the most since 2003. 
    • Trains, Buses and Cruise Ships: Nearly 65,000 Coloradans will travel by other means over the holidays, joining the ranks of nearly 3.81 million Americans in total – a three percent increase over last year.  

    National economic factors influencing the travel forecast include: 

    • Despite some near-term wobbles, the U.S. economy continues to grow at a slightly above-trend pace. GDP growth this year is projected at 2.1 percent. 
    • The national unemployment rate settled at 3.5 percent in November, among the lowest in 50 years. Colorado’s unemployment rate sits well below the national average, at 2.6 percent.
    • At a national level, strong gains in household sector wealth and solid growth in incomes provide a firm foundation for continued strength in consumer spending, which is expected to grow by 4.3 percent. 
    • Gas prices steadily declined in November, paving the way for even cheaper fill-ups for the year-end holidays. AAA expects most motorists to see gas prices drop before the new year, with gas prices in Colorado forecasted to drop a quarter or more.  

    Avoid Road Rage: Plan for Traffic
    For the 104.8 million Americans traveling by automobile, INRIX, in collaboration with AAA, predicts only marginal delays throughout the holiday week – with one notable exception. Motorists should expect the worst delays on Thursday, Dec. 26, with travel times potentially doubled. 

    Traffic delays can add additional stress to an already hectic season. Drivers are encouraged to maintain a cool head and focus on reaching their destination safely. 

    • Do not offend: Never cause another driver to change their speed or direction. That means not forcing another driver to use their brakes or to turn their steering wheel in response to something you have done.
    • Be tolerant and forgiving: The other driver may just be having a really bad day. Never assume that it’s personal.
    • Do not respond: Avoid eye contact, don’t make gestures, maintain space around your vehicle, and contact 9-11 if needed. 

    Prepare for busy airports Dec. 21-23, steep flight prices Dec. 26
    recent analysis  of AAA’s flight booking data revealed that most travelers depart two to four days prior to the Christmas holiday, Dec. 21-23, with the 22nd being the single busiest air travel day of the holiday week. These travelers, on average, pay ticket prices between $593 and $639. Christmas Eve is the best day to travel, with the lowest average price per ticket ($527) and the fewest crowds of the holiday week. Many travelers opt to fly after the Christmas holiday leading up to New Year’s, and they pay a premium to do so. Dec. 26 has the highest average ticket price of the week at $692.

    Hotel prices fluctuate; car rental rates reach 10-year high

    Travelers will need to budget more for car rentals this holiday season. According to AAA’s Leisure Travel Index, the daily average rental rate this Christmas and New Year’s will reach $84, 11 percent more than last year and the highest price in 10 years. AAA Three Diamond hotel prices have increased one percent to $153, while AAA Two Diamond hotels will average $119, two percent less than last year.

    AAA to rescue more than 853,000 motorists
    AAA expects to rescue nearly 853,000 motorists at the roadside over this holiday period. Dead batteries, lockouts and flat tires will be the leading reasons AAA members will experience car trouble. In Colorado, AAA anticipates more than 10,500 drivers will require assistance at the roadside during the travel period. AAA recommends motorists take their vehicle to a trusted repair facility to perform any needed maintenance before heading out. Oil changes, fluid level checks, battery tests and tire inspections go a long way toward reducing the chances of a breakdown. Find a good mechanic at AAA.com/Repair

    About the Forecast
    AAA’s projections are based on economic forecasting and research by IHS Markit, a London-based business information provider. For the purposes of this forecast, the year-end holiday travel period is defined as the 12-day period from Saturday, Dec. 21 to Wednesday, Jan. 1.

    In cooperation with AAA, IHS Markit developed a unique methodology to forecast actual domestic travel volumes, using macroeconomic drivers such as employment; output; household net worth; asset prices including stock indices; interest rates; housing market indicators and variables related to travel and tourism, including prices of gasoline, airline travel and hotel stays. 

    About INRIX: 
    INRIX is the global leader in connected car services and transportation analytics. Leveraging big data and the cloud, INRIX delivers comprehensive services and solutions to help move people, cities and businesses forward. Our partners are automakers, governments, mobile operators, developers, advertisers, as well as enterprises large and small. 

    About AAA Colorado
    More than 695,000 members strong, AAA Colorado is the state’s greatest advocate for the safety and security of all travelers. As North America’s largest motoring and leisure travel organization, AAA provides more than 60 million members with travel, insurance, financial, and automotive-related services — as well as member-exclusive savings. A not-for-profit organization since its founding in 1923, AAA Colorado has been recognized as the number one Colorado company its size for its advocacy, community engagement, and corporate social responsibility efforts – and is a proud member of Points of Light’s “The Civic 50 Colorado,” recognizing the 50 most community-minded companies in the state. For more information, visit AAA.com.

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