Tennessee remains the 10th least expensive market in the nation
NASHVILLE, Tenn., (July 12, 2021) — The Tennessee gas price average held steady over last week with today’s average the same as one week ago. The Tennessee Gas Price average is now $2.88 which is the same as one month ago and 94 cents more than one year ago.
“Peak summer driving season is in full-swing as Americans hit the road to explore and gas prices are not backing down,” said Megan Cooper, spokeswoman, AAA - The Auto Club Group. “Motorists are paying, on average, nearly a dollar more a gallon than last summer to fill up and close to 40 cents more than in 2019.”
National Gas Prices
At 10 million b/d, gasoline demand reached a new Energy Information Administration (EIA) record last week, and that number only partially reflects Independence Day holiday weekend travel. The nearly 1 million b/d jump in demand drove down gasoline supplies by 6.1 million bbl to 235,000 million bbl and consequently pushed the national average pump price up to $3.14.
The price of crude oil, which fluctuated last week following OPEC’s failure to reach an agreement on production increases, continues to be a dominant factor in determining how high prices will go this summer. Last week ended with higher crude prices than the start, though still under $75/bbl. AAA believes those prices have the potential to increase this week, which will only lead to more expensive pump prices, especially amid robust demand.
On the week, about 25 state averages increased by at least two cents with a few seeing a jump of nine cents or more. State averages range from as low as $2.76 in Mississippi to as expensive as $4.31 in California.
As pump prices continue to increase, AAA members can save at the pump by joining the Fuel Rewards at Shell program at AAA.com/Shell. Members save 30 cents per gallon on their first fill-up when they join between now and August 31, 2021. As part of the Fuel Rewards program, AAA Members earn Gold Status ongoing and save five cents per gallon every day on each individual gas purchase of up to 20 gallons from participating Shell stations with no minimum fill ups.
National Oil Market Dynamics
At the close of Friday’s formal trading session, WTI increased by $1.62 cents to settle at $74.56. Crude prices declined early last week due to a stronger dollar and market concerns about excess crude supply. However, prices increased following the release of EIA’s report that showed total domestic crude inventories decreased by 6.9 million bbl to 445.5 million bbl. If EIA’s next weekly report shows another decline in total domestic crude inventories, prices could climb further this week.
Tennessee Regional Prices
Tennessee Gas Price Averages
(Price per gallon of regular unleaded gasoline)
About AAA - The Auto Club Group
The Auto Club Group (ACG) is the second largest AAA club in North America with more than 14 million members across 14 U.S. states, the province of Quebec and two U.S. territories. ACG and its affiliates provide members with roadside assistance, insurance products, banking and financial services, travel offerings and more. ACG belongs to the national AAA federation with more than 62 million members in the United States and Canada. AAA’s mission is to protect and advance freedom of mobility and improve traffic safety. For more information, get the AAA Mobile app, visit AAA.com, and follow us on Facebook, Twitter and LinkedIn.