Anyone hitting the road for Labor Day weekend could take some solace at the pump.
According to the U.S. Energy Information Administration, gas prices in the run-up to the legal-holiday weekend were at their lowest level in four years. The national average on Monday was $3.45 a gallon for regular.
“Prices are lowest on the Gulf Coast ($3.24/gal) and highest on the West Coast ($3.83/gal) as of Aug. 25,” the agency said in a report Friday.
EIA breaks down prices for every county in the nation.
Oil prices were down about $13 a barrel from their year-to-date high in June – on Aug. 22, Brent crude was trading at about $102 a barrel.
The reason, according to the energy agency, is that predicted disruptions in Iraqi oil production over the conflict with the Islamic State haven’t materialized as expected. Add in Libya increasing exports and indications that global demand is weakening, and you have a recipe for cheap gasoline.
And gas prices are expected to continue to decline.
“EIA forecasts that the U.S. average retail price of gasoline will decline modestly through the end of the year, reaching a monthly average low of $3.30/gal in December,” the report said.