Statewide Iowa — For the first time in more than six years the average price for a gallon of regular gas in Iowa has hit $3, according to AAA-Iowa.
The current $3 average is up 14 cents from one month ago and 90 cents from this time last year; however, it remains 16 cents below the national average of $3.16, according to AAA. The last time Iowa motorists paid a statewide average of $3 for gas was Nov. 7, 2014.
Fuel prices have moved higher on a sharp increase in the cost of crude oil. Crude oil prices recently traded above $76, a level not seen since November 2014. The price for a barrel of oil today is just above $72.60, bringing some hope that prices at the pump may soon peak.
Robust gasoline demand and more expensive oil have pushed gas prices higher, according to Meredith Mitts, public affairs specialist for AAA-Iowa. She says an increase in crude oil production to meet growing global demand is what’s needed to bring some relief to motorists.
A rebound in crude oil prices back above $76 could increase gas prices by 10–20 cents or more, added Mitts.
As of today, Iowa motorists can still purchase gas for less than $3 at 70 percent of gas stations. While prices in areas on northwest Iowa have flirted with the $3 per gallon price for the past few weeks, they’re still slightly below that in Sheldon. As of Friday morning, pump prices in Sheldon were close to $3, settled at $2.99 per gallon.
For more information on gas prices and a gas price calculator for trip planning, visit www.AAA.com/gas.
