Average gas cost falls nationwide

Associated Press

NEW YORK

A sharp decline in the price of oil this month is making gasoline cheaper at a time of year when it typically gets more expensive. It’s a relief to motorists and business owners and a positive development for the economy.

Over the past three weeks, the price of oil has fallen by 9 percent to $89 a barrel. That has helped extend a slide in gasoline prices that began in late February. Nationwide, average retail prices have fallen by 27 cents per gallon, or 7 percent, since Feb. 27, to $3.52 per gallon. Analysts say pump prices could fall an additional 20 cents over the next two months.

In Ohio, a gallon of regular gas was listed at an average of about $3.65 in Monday’s survey from auto club AAA, the Oil Price Information Service and Wright Express. That’s 27 cents higher than the April 15 average of $3.38.

The Ohio price this week is 13 cents higher than the national average of $3.52.

The state average is about a dime lower than this time last month, and 6 cents lower than at the same time in 2012.

Analysts say they typically expect to see a spike in gas prices as the summer driving season approaches.

The lowest average price in the state Monday was about $3.58 in Youngstown and Warren.

The price of oil is being driven lower by rising global supplies and lower-than-expected demand in the world’s two largest economies, the United States and China. As oil and gasoline become more affordable, the economy benefits because goods become less expensive to transport and motorists have more money to spend on other things. Over the course of a year, a decline of 10 cents per gallon translates to $13 billion in savings at the pump.

Diesel and jet fuel also have gotten cheaper in recent weeks, which is good news for truckers, airlines and other energy-intensive businesses.

Gasoline prices typically rise in the late winter and spring as refiners shut down parts of their plants to perform maintenance and begin making more costly blends of gasoline required by federal clean-air regulations.