Gas prices rise 1 cent in southern Ohio

Staff Report

OHIO VALLEY — Southern Ohio gas prices have risen 1 cent, according to AAA East Central’s Fuel Gauge Report.

The national average is $2.32.

This week’s Southern Ohio average price is $2.25, while the average price during the week of Sept. 7 was $2.24. About one year ago this week, the average price of a gallon of gas was $3.39.

Reported prices at various locations around southern Ohio include $2.21 in Athens and East Liverpool; $2.22 in Marietta; $2.23 in Chillicothe; $2.24 in Columbiana and Ironton; $2.26 in Logan and Steubenville; $2.27 in Jackson, Portsmouth and Waverly; $2.28 in Hillsboro and Washington Court House; and $2.33 in Gallipolis.

National average gas prices fell for the 28th straight week as fewer motorists take to the roads and oversupply typifies the global market.

Drivers are paying about $1.06 less this year than last, and national averages have dropped more than 30 cents over the past month. Several Southern states — South Carolina, Alabama and Mississippi — are reporting average prices below the $2 mark, with continued discounts expected across the county.

As stations switch to winter-blend mixes and road travel declines into the fall and winter, the market is expected to remain oversupplied, which should keep costs down.

However, the oil market is still volatile. The International Energy Association predicts non-OPEC countries will decrease production to the lowest level in 24 years. The IEA attributes this decrease to OPEC’s strategy to protect its market share by maintaining levels of production despite the drop in crude oil prices.

Also according to the IEA, global demand for oil is likely to increase in 2016, suggesting a more bullish outlook to the market.

In December, Indonesia will rejoin OPEC, and the country will not discuss production plans until then, a contributing factor to the current bearish state.

Domestically, even with diminished production, the market remains oversupplied, according to the U.S. Energy Information Administration, another factor keeping prices low.

Staff Report