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Gas prices fall to ring in the new year

by DAILY BEE STAFF
| January 7, 2023 1:00 AM

Idaho drivers are basking in holiday cheer by paying some of the state’s lowest gas prices in a year. However, that isn't the case in other parts of the country where winter weather and year-end travel have caused prices to jump.

According to AAA, the average price for a gallon of regular in the Gem State is $3.43, which is four cents less than a week ago and 54 cents less than a month ago.

In Bonner County, gas prices ranged from $3.22 in Oldtown and $3.39 in Blanchard to $3.59 in Sandpoint, according to several online gas price comparison websites. In Boundary County, gas prices average $3.39, according to the sites. In Coeur d'Alene, gas prices average $3.01 and can be found as low as $2.85 to $2.89, according to the website.

As of Friday, AAA officials said the average price of gas in Boise is $3.49, in Franklin, $3.40; in Idaho Falls, $3.47; in Lewiston, $3.58; in Pocatello, $3.40; in Rexburg, $3.49; and in Twin Falls, $3.46.

The national average currently sits at $3.23 per gallon, which is 13 cents more than a week ago, but 20 cents less than a month ago.

“In the past few weeks, holiday travel increased the demand for gasoline, and then we saw severe winter storms raging across the country that motivated people to prepare by filling up their cars. That, combined with some temporary refinery shutdowns in places like Texas and the Gulf Coast, put additional pressure on pump prices in some parts of the U.S.,” Matthew Conde, AAA Idaho spokesman, said. “Demand will likely level off throughout the month of January, and with refineries back up and running, we could continue to see favorable gas prices to kick off the new year.”

2022 was marked by volatile crude oil prices and strong travel activity that nearly rivaled pre-pandemic levels.

“During the pandemic, people had fewer travel options. As a result, some families were able to save up discretionary income that they could use in 2022 to make their holiday road trips possible, even with much higher gas prices,” Conde said. “It will be very interesting to see how people’s pain thresholds change or stay the same when it comes to gas prices this year.”

Today, the West Texas Intermediate benchmark for crude oil is trading near $78 per barrel, which is $2 less than a month ago and $2 more than a year ago.