Gas Stations Across U.S. Are Slashing Prices—But For Different Reasons

Some gas stations across the United States cut prices for brief periods over the past month, and some cited several different reasons for doing so.

Gasoline prices in the United States have been at record highs in recent months, and the current national average, according to the American Automobile Association (AAA), is $4.968 per gallon, showing a decline from at $5,016 a week ago. A year ago to the day, gasoline cost about $3,071 on average.

Experts don’t expect gasoline prices to drop to exponential levels in the near future, not when inflation rates and the busy summer travel season play critical factors in setting gasoline prices. However, some gas stations are reducing their prices to reduce the cost at the pump.

Chevron acquires Renewable Energy Corp for $3.15
Gas prices in the United States have reduced prices, but for different reasons. In this photo, Chevron gas pumps are seen on June 14, 2022 in Houston, Texas.
Brandon Bell/Getty Images

Arizona

A gas station in Phoenix, Arizona, has reduced its cost of regular unleaded to $4.99 per gallon, about 70 cents cheaper than the city average. Station owners Jaswinder Singh and Ramandeep Kaur told Fox 10 of Phoenix, “We’re trying to help our customers, our neighborhood, our community so they can save money so they can spend that money for something else, like food, lunch, dinner.”

Pennsylvania

Another station owner, this time in Lower Burrell, Pennsylvania, said he plans to cut gas prices to a “pre-inflation price” of $2.38 a gallon for just one day, according to the WPXI local station.

Cheap Gas Day is an effort in partnership with Americans for Prosperity-Pennsylvania’s “The True Cost of Washington” national campaign to raise awareness of rising costs for Pennsylvanians.

California

Another gas station, this time in downtown Los Angeles, also lowered its gas prices, but not for the same reason.

After FOX 11 reported that a gas station off Alameda was charging more than $8 a gallon, the station cut prices to just under $8. Reporters with FOX 11 were asked to leave when they approached the station to ask why gas prices were higher there than at other stations.

Rising gas prices have been a notorious theme as supply and demand have increased, and states have created bills to prevent excessive increases. Congress’ Consumer Fuel Price Gouging Prevention Act, a bill that seeks to end price gouging for gasoline, was recently passed by the House of Representatives.

New Jersey

Other gas stations that have recently lowered their prices cite different reasons. A coalition of at least 75 New Jersey gas stations lowered gas prices for a single day last month to show their support for self-serve gas legislation, a move that is in the air for some time.

New Jersey and Oregon are the only two US states that currently ban drivers from pumping their own gasoline, but amid worker shortages, New Jersey has tried to lift the ban in recent months.

The price cuts come as President Joe Biden announced that a decision on a federal gas tax exemption could be made this week to reduce rising inflation that has hit Americans hard.

Newsweek has contacted GasBuddy for additional comment.

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