Pump Prices Up 25 Percent Over Last Year

Phoenix, Ariz., June 12, 2008 – Relentless gas prices continue to deplete household budgets, having surpassed the $4 per gallon mark across most of the state and country. Arizona drivers are currently paying $4.046 for a gallon of regular unleaded gasoline, which is an increase of over 13 cents from last week and nearly a dollar higher than motorists were paying for fuel this time last year. Tucson drivers continue to hold on to the state’s lowest fuel price at $3.825 per gallon, while Scottsdale drivers continue to pay the most to fill their tanks at $4.145 per gallon. Aside from Tucson, Pima County and Prescott are the only remaining areas of the state with fuel averages remaining below the $4 mark. Nationwide, the current average for a gallon of fuel is $4.060, an increase of nearly eight cents from last week.

As crude prices continue to trade comfortably above $130 per barrel, this week, Congress urged the Commodity Futures Trading Commission (CFTC), the top U.S. commodity regulator, to investigate the role that investor activities are having on commodities. In response, the CFTC revealed that it will work to bring “greater transparency and scrutiny to the types of traders in the marketplace, including large index traders” while continuing to investigate trading activity in the oil market.

“It is encouraging to see Congress address the fact that crude commodities have been and continue to be inflated by investors and apply pressure to correct this activity,” said Linda Gorman, AAA Arizona public affairs manager. “The cost of crude has more than doubled over the last year and very little, if any, of the price increase has to do with supply and demand fundamentals.”

The cheapest gasoline in the continental United States is in Missouri, where unleaded regular is $3.848 per gallon. California drivers are paying the most for fuel in the country at $4.539 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.