Gas prices open week higher

ALBANY — Gas in Georgia is averaging more than $2 a gallon again after crude prices rose last week. In Albany, motorists have seen more than an 8-cent jump on the average price compared to last week.

Both AAA’s Daily Fuel Gauge Report and GasBuddy.com, which each survey thousands of retail gas sellers nationwide, had the state average slightly more than $2.02 a gallon Monday. The AAA report, which also looks at eight metro areas in Georgia, ranked Albany third-lowest in the state Monday at $1.951.

Still, market experts say that barring an unexpected supply interruption, prices this fall should stay well below recent years.

“More expensive oil prices caused wholesale gas prices to rise 6 cents, directly leading to the increases at the pump,” said Mark Jenkins, spokesman for AAA — The Auto Club Group. “However, wholesale prices slipped 3 cents mid-week, allowing retail prices to stabilize over the weekend. Gas prices are likely to remain volatile through the rest of the month, but stay low through the rest of the year.”

Patrick DeHaan, GasBuddy’s senior petroleum analyst, said that despite this uptick at the pump, gas prices averaging below $2 are still forecast this fall.

“Many communities across the country have witnessed some form of a gas price rebound in the last week,” he said. “As oil prices have continued to lift, gasoline prices may see additional slight increases in some parts of the country again this week, but overall, gasoline and diesel prices remain very low considering we’re nearing the conclusion of the summer driving season.

“Barring a disruption to fuel supply as we enter the peak of hurricane season, gas prices nationally will spend more time below $2 per gallon this autumn and winter than they did last year, and I’m sure that’ll make many motorists happy.”

In metro Albany, motorists on Monday were paying an average of 8.4 cents more per gallon than on Aug. 8. The lowest observed prices in Albany that did not require cash or a loyalty/club card were $1.869. Albany motorists were paying within a penny of last month’s cost, but were saving 26.6 cents per gallon compared to last year.

The cheapest averages for Georgia metro areas Monday were Macon at $1.899 and Augusta at $1.947. Two Georgia metro areas were averaging above the $2 mark — Athens at $2.009 and Atlanta at $2.08 — according to the daily Fuel Gauge Report.

Georgia’s average was at $2.022 (AAA) to $2.023 (GasBuddy), which was up 3.7 to 4.4 cents a gallon since last week, depending on the survey. Motorists in the state were saving 3-4.1 cents per gallon compared to last month, and 41.1-41.3 cents compared to last year.

Nationally, the average cost was $2.122 (GasBuddy) to $2.124 (AAA). The week-to-week change was fairly flat, and both surveys had motorists saving 9.6 cents per gallon compared to last month. Year-to-year, the cost per gallon in the U.S. was down 54.3-55.3 cents per gallon, depending on the survey.

AAA officials noted the weekly average for a barrel of WTI (West Texas Intermediate) crude oil last week was $43.10, $2.27 more than the previous week and the highest in three weeks. Oil prices, they said, rose after the International Energy Agency forecast crude markets would tighten in the second half of the year, with the global oversupply of crude expected to clear out. AAA said two factors were expected to drive U.S. crude up to as much as $45 a barrel in the near term — deep production cuts by non-OPEC members and high global oil demand.

Also putting upward pressure on oil prices, AAA said, are reports that OPEC members and other producers have agreed to meet informally next month to discuss the market and possible action that would stabilize prices.

On Monday, the National Hurricane Center for the National Oceanic and Atmospheric Administration showed possible pre-cyclone activity in the far eastern portion of the Atlantic, just off the coast of Africa. The NHC said the disturbance had a 40 percent chance of developing within two days and a 50 percent chance within five days.