Statewide Pump Prices Jump Another Dime

Phoenix, Ariz., June 4, 2008 – Across the state and country, daily price increases at the pump continue to trump previous day records as the price of fuel inches closer to the $4 per gallon mark. Arizona drivers are currently paying $3.912 for a gallon of regular unleaded gasoline, an increase of ten cents from last week. Drivers are now paying an average of 26 cents more per gallon than they were just two weeks ago.

Currently, 14 states, including the District of Columbia, are above the $4 mark. Tucson drivers hold on to the state’s lowest fuel price at $3.725 per gallon, while Scottsdale drivers are now paying the most to fill their tanks at $3.987 per gallon. Nationwide, the current average for a gallon of gasoline is $3.983, an increase of three cents from last week.

This week, the Department of Energy delivered a mixed report that revealed a drop in crude supplies and an increase in gasoline inventories. The report, coupled with lackluster demand for fuel, resulted in crude oil backing away from its all time high of $135 per barrel established late last month.

Also this week, General Motors (GM) acknowledged the need for more fuel efficient vehicles as a result of current gas prices. In its announcement, the company revealed that it will begin to produce fewer trucks and SUVs in exchange for several smaller and more fuel efficient vehicles, including an electric vehicle that it plans to introduce to the market by 2010.

 “This week’s announcement by GM is a recent example of an auto manufacturer responding to consumer demand for more fuel efficient vehicles,” said AAA Arizona Public Affairs Manager Linda Gorman. “This is a significant announcement coming from a domestic manufacturer that has been long-associated with producing the largest vehicles on the road. We applaud auto manufacturers for their efforts in making these investments in more fuel efficient vehicles.”

The cheapest gasoline in the continental United States is in South Carolina, where unleaded regular is $3.797 per gallon. California drivers are paying the most for fuel in the country at $4.313 per gallon.

Motorists can visit www.AAAAZ.com/news/fuelnews.htm for the latest fuel price information and gas saving tips and go to www.AAA.com/fuelfinder to locate the station with the cheapest gas in their neighborhood or along their commute route.  They can also visit AAA’s Fuel Cost Calculator at www.fuelcostcalculator.com, which can help drivers plan out their fuel costs so they can budget their travel expenses in advance. AAA members who use their AAA Visa credit card can get a rebate of up to five percent on gasoline purchases made at the pump. Members can also flash their AAA membership card to save at over 100 of the auto club’s Show Your Card & Save partners.  

*Indicates record price.

 **The BTU-adjusted price of E-85 is the nationwide average price of E-85 adjusted to reflect the lower energy content as expressed in British Thermal Units - and hence miles per gallon - available in a gallon of E-85 as compared to the same volume of conventional gasoline. The BTU-adjusted price calculated by OPIS and AAA is not an actual retail average price paid by consumers. It is calculated and displayed as part of AAA's Fuel Gauge Report because according to the Energy Information Administration E-85 delivers approximately 25 percent fewer BTUs by volume than conventional gasoline. Because "flexible fuel" vehicles can operate on conventional fuel and E-85, the BTU-adjusted price of E-85 is essential to understanding the cost implications of each fuel choice for consumers.

AAA Arizona’s Weekly Fuel Gauge includes data from gasoline stations in every Arizona community. However, only major metropolitan areas are shown in the table above.  Local prices in some communities might be higher or lower than the averages shown here.

NOTE: AAA Fuel Gauge data may be used on a daily basis by news media Web sites, but should include attribution to AAA.