Gas Watch: Demand sends pump prices up this week

Talk 1370 Newsroom
August 13, 2020 - 5:56 pm
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AUSTIN (Talk1370.com) -- Austin-area drivers saw a slight increase at the pump this week due to increased demand, according to the AAA Texas Weekend Gas Watch.

Drivers in the Austin-San Marcos metro area are paying an average of $1.88 a gallon this week, up four cents from last week and 52 cents cheaper than a year ago. Across the state, drivers are paying an average of $1.87 a gallon, up two cents this week and down 51 cents from last year.

Drivers in El Paso are paying the most on average at $2.02, while drivers in Sherman/Denison are paying the least at $1.78 per gallon.

Across the country, the national average is at $2.17 a gallon, down one cent this week and 47 cents less than a year ago.

Analysts say demand for retail gasoline has increased and continues to grow closer to regional supply levels, although the demand is still below normal due to COVID-19. Prices are expected to fluctuate in the coming days as regional markets continue adjusting. Demand is expected to remain below normal because many students who would typically be returning to school will begin the year with virtual classes from home.

"As regional markets readjust to lower than average demand levels, we expect to see continued pump price fluctuation," said Daniel Armbruster with AAA Texas. "This is primarily due to market forces trying to balance supply and demand."

Drivers in Texas are paying some of the cheapest prices at the pump, ranking 5th lowest in the country according to AAA data.

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