How to save money on gas at the pump
You can’t control gas prices, but you can be smarter when it’s time to head to the pump.
ProblemSolved, Reviewed
Finally, a break for South Carolina motorists and their budgets.
Despite a rise in demand prior to the Fourth of July holiday, gas prices are falling to their lowest levels in two months – below $4 a gallon in the Upstate – as worldwide crude oil prices continue to fall, according to AAA Carolinas.
“Usually, high demand leads to higher prices at the pump,” AAA Carolinas spokeswoman Tiffany Wright said in a press release Monday. “But because the price of oil has fallen, less expensive oil usually means less expensive gas.
“Unless there’s a sudden rebound in the price of oil, we should keep getting some relief at the pump,” she added.
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University of South Carolina economist Joey Von Nessen said he doubts any further gas price decreases this summer will be substantial.
“We are currently at the height of the summer tourism season, with many people traveling or going on vacation,” he said Tuesday. “This translates into high demand for gasoline, which limits how much of a price decrease we can expect in the short run.
“If, however, the U.S. economy begins to cool in the second half of the year … larger gas price reductions may follow.”
In Spartanburg Tuesday, many stations were still selling above $4 a gallon, while others with traditionally the lowest prices dropped theirs below $4, according to GasBuddy.com. The cheapest gas was at Costco on West Blackstock Road, $3.79 a gallon. Murphy USA and Circle K in Boiling Springs were the next lowest at $3.82.
Elsewhere in the Upstate, the lowest price in Greenville was $3.75 at Costco on Woodruff Road, followed by Ingles on Stallings Road at $3.79. In Anderson County, the cheapest gas, $3.70, was at Stop-N-Go on U.S. 76 in Pendleton, followed by $3.73 at Kwik Pantry, Xpress Fuel and Zekes Country Store, all on U.S. 76 in Pendleton.
On Tuesday, South Carolina’s average gas price was $4.16, down 2 cents from Monday. South Carolina and Georgia had the lowest prices in the Southeast at $4.16, followed by Alabama, $4.24, Tennessee, $4.26, North Carolina, $4.29, and Florida, $4.38.
Across the nation, the highest prices Tuesday were in California, $6.05, Alaska, $5.46, and Oregon, $5.38.
South Carolina’s average gas price Monday was $4.18, a 12-cent decline over the previous week and 42 cents less than a month ago. The national average was $4.67, a 32-cent decline over a month ago.
Wright said the reason for dropping prices is the benchmark WTI (West Texas Intermediate) crude oil price plummeted early last week by $10 a barrel in two days, from $108.43 to $98.53, before settling at $104.79 per barrel at the end of the week.
Early Tuesday afternoon, the WTI price was $96.24 a barrel.
Von Nessen said lower pump prices puts more money in the pockets of consumers, “especially in the current economic climate in which the cost of most goods and services have gone up significantly this year.
“For example, the savings from lower gas prices could be used on household items such as groceries, clothing or back-to-school supplies,” he said.
According to the American Petroleum Institute, petroleum prices are determined by market forces of supply and demand, not individual companies. The price of crude oil determines the price at the pump.
Several factors affect worldwide crude oil prices, including a global supply crunch, geopolitical instability in Eastern Europe, the economic rebound following the COVID pandemic and policy uncertainty in Washington, according to API.
Taxes also add to the cost of gasoline. The federal excise tax is 18.4 cents a gallon, and state taxes range from a high of 68.15 cents a gallon in California to 15.13 cents in Alaska and 18.79 cents in Mississippi.
In South Carolina, the state gas tax is 28 cents a gallon. The price rose 2 cents to 28 cents on July 1, the last year of a six-year, 12-cent state tax hike to fund more than $1 billion of road and bridge work in the state.
Neighboring Georgia has a state gas tax of 37.55 cents, and North Carolina’s state tax is 38.75 cents a gallon.
Contact Bob Montgomery at [email protected]. Please support our coverage of Spartanburg County with a digital subscription.