Northwest Iowa — Gas prices have been dropping faster than the temperatures in the last few days and Iowa is leading the way.
AAA Iowa spokesperson Rose White says that in Iowa prices have retreated a whopping 41 cents-a-gallon — making Iowa the leader in all drops across the U.S. She says a variety of issues that had kept gas prices up in the Midwest have all worked themselves out.
She says that the Midwest states experienced a high increase in prices during September due to regional refinery issues and basic seasonal maintenance. And in October the prices continued to climb for crude oil. On top of all that, according to White, the amount of driving and fuel use slows this time of year.
She says the drop in demand also impacts prices and with the hurricane season now over, there’s good news for motorists at the pump. The statewide average price for a gallon of unleaded gasoline in Iowa was at $2.39 on Tuesday. White says local factors lead to different prices in different areas of the state.
According to White, variances across our state of 60 to sometimes 70 cents-a-gallon can be seen. She explains there are many factors for that. White says one thing we have to keep in mind for rural areas — they do not have a lot of competition, but they might have low sales volume and as a result to maintain their cost, they do have to charge more. White says the drop in gas prices will give Iowans and others a little extra cash.
She says Iowans are saving more than six dollars every time they fill their gas tank. White says more savings could be coming if crude oil prices continue to fall.
A recent quick check of prices for a gallon of self-serve mid-grade gasoline with ten percent ethanol around northwest Iowa revealed a price of around $2.38 in Sibley, $2.34 in Orange City, $2.33 in Rock Rapids and $2.29 in both Hull and Sioux Center, all below the state average of $2.39. Gasbuddy.com says one station in Sioux City is selling that same grade of gas for $2.09. Only one station in the state is selling gas at a lower price — $2.08 — and that station is in Ankeny.
