Gas Prices Continue to Fall Nationally and Locally

Strategic Insights -

Retail gasoline prices in the United States, the state of Georgia, and metro Atlanta have been declining, with no expected significant impact from the proposed merger between Exxon and Mobil. According to the Energy Department, the national average price for regular unleaded gasoline has reached a low of 97.4 cents per gallon, the lowest since 1990. In Georgia, the average price has dropped to 88.3 cents per gallon as of November 18, a decline from $1.03.4 a year ago and $1.11 in 1996.

Key Takeaways:

  • The national average price for regular unleaded gasoline has fallen to 97.4 cents per gallon, the lowest since 1990, due to an oversupply of crude oil at low prices.
  • In Georgia, the average price has declined to 88.3 cents per gallon as of November 18, from $1.03.4 a year ago and $1.11 in 1996.
  • The proposed Exxon-Mobil merger is not expected to have a significant impact on retail gas prices in the short term.
  • The consolidation of Exxon and Mobil outlets could eventually cause retail prices to fall at a slower rate and may increase prices in states where the two companies have a dominant presence.
  • In metro Atlanta, the lowest average prices were 84.8 cents per gallon in Tucker and 88.6 cents in East Cobb, with some areas seeing prices fall to the upper-70 cents per gallon.
  • Neal Davis, an official with the Energy Information Administration, noted that a consolidation of Exxon and Mobil outlets could eventually cause retail prices "not to fall as fast as they otherwise might" without the merger.
  • Mitch Fuqua, an official with the national office of AAA, believes the merger will have little effect on prices nationally or statewide due to low crude oil prices, which will keep retail prices down.

Statistics:

  • National average price for regular unleaded gasoline: 97.4 cents per gallon
  • Georgia average price for regular unleaded gasoline: 88.3 cents per gallon (as of November 18)
  • Price decline in Georgia from a year ago: -10.6 cents per gallon
  • Price decline in Georgia from 1996: -22.7 cents per gallon
  • Number of Exxon stations in Georgia: 356
  • Number of Mobil stations in Georgia: 6 (accounting for 4.9% of all stations in the state)
  • Average price in Tucker: 84.8 cents per gallon
  • Average price in East Cobb: 88.6 cents per gallon

Sources:

  • Energy Department
  • American Automobile Association (AAA) South
  • Energy Information Administration
  • Petroleum Council of Georgia
  • Neal Davis, Energy Information Administration official
  • Mitch Fuqua, AAA national office official
  • Richard Cobb, director of the Petroleum Council of Georgia