The States With The most cost effective Gasoline
Since June, gasoline prices have climbed roughly steadily and are now 35 cents per gallon higher than they have been a 12 months ago. In accordance with AAA’s every day gas gauge report, which measures gas costs across the country, gasoline prices have hit each day report highs at least as soon as in every of the past six weeks. In Michigan and Ohio, prices rose by 50 cents per gallon up to now year. As of October 8, there are seven separate states with fuel prices above $four.00 per gallon.
Whereas the value on the pump has risen in each state compared to a 12 months in the past, in some states the worth of gas has elevated at a much slower fee, and lots of are much closer to $three.50 than to $four.00 per gallon, nicely below the nationwide average value. In 10 states the typical worth of a gallon of gas is $3.60 or much less – 18 cents less than the national average of $3.78 per gallon.
24/7 Wall St. reviewed gas costs throughout all states. We discovered that one of crucial components that determined worth was a state’s geographic location. Being close to refining capacity helps reduce out the prices of transporting the gas. As a result, a lot of the states with low fuel prices are located on or near the Gulf of Mexico, the place the overwhelming majority of the nation’s oil harvesting and refining takes place. 4 of the five states that contact the Gulf of Mexico are among the 10 with the lowest gasoline costs within the country. Three more states on this listing – Arkansas, Tennessee and Georgia – are petroleum refinery images yangon instantly adjoining to one of petroleum refinery images yangon the Gulf states.
Gasoline taxes are one other important subject that affects gasoline prices. oil And Gas Production Of the ten states with the bottom costs, eight have among the 15 lowest taxes per gallon of gas. But the relationship between gas taxes and cost is removed from excellent. Alaska has the bottom fuel taxes at just eight cents per gallon however the second-highest fuel prices. 4 of the 5 states with the lowest gasoline taxes, together with Alaska, are not among the ten with the least expensive gas.
Whereas nationwide gas costs rose over the previous year, they fell by 5 cents per gallon in the past month. The states on our list have been the driving pressure in that decline. Gas costs dropped in 23 states in comparison with a month ago. Gasoline costs in all 10 states with the most cost effective gasoline price have fallen, including Georgia, the place the associated fee per gallon is down by 24 cents.
Primarily based on AAA’s Daily Fuel Gauge report, 24/7 Wall St. identified the states with the least costly common value of a gallon of unleaded gasoline as of October 2. AAA additionally provided the change in common gas prices by state one week, one month and one year in the past. 24/7 Wall St. also examined the number of refineries and complete refining capacity as of January 1, 2012, provided by the U.S. Vitality Data Administration. From the American Petroleum Institute, we obtained state gasoline taxes, which had been additionally as of the start of this 12 months. This includes state gas excise taxes, in addition to different taxes (including gross sales tax). 24/7 Wall St. also obtained the relative total value of residing, and the cost of paying for transportation, from The Missouri Economic Research and knowledge Center for the second quarter of 2012.
These are the 10 states with the cheapest fuel.
1. South Carolina
>Common gas worth per gallon: $Three.Forty nine
>Tax per gallon: 16.8 cents (4th lowest)
>Number of operating refineries: 0
Nowhere is fuel cheaper than in South Carolina, where fuel is 28 cents per gallon cheaper than the nationwide average, and three cents cheaper than the second-cheapest state, Mississippi. Contributing to low prices are some of the lowest gasoline taxes in the nation; South Carolina charges an excise tax of just 16 cents per gallon and other fees and taxes of only 0.Eight cents per gallon. On September 15, 2008, costs hit their historical peak within the state, at $4.12. In June, gasoline prices fell beneath $three per gallon.
>Common gas price per gallon: $3.52
>Tax per gallon: 18.Eight cents (7th lowest)
>Number of working refineries: 3
Final 12 months, Mississippi had a median family revenue of simply $36,919, making it the poorest state in the nation by that measure. Though the state’s economy is suffering, there has solely been a 25 cents per gallon increase in Mississippi’s gasoline costs over the past year, compared a rise of 36 cents nationally. The state at present costs just 18.Eight cents in state taxes per gallon of fuel, lower than all however six states. Costs also were stored down by a close proximity to the nation’s largest oil refiners, Louisiana and Texas.
>Common gasoline price per gallon: $Three.53
>Tax per gallon: 20.9 cents (14th lowest)
>Number of operating refineries: Three
One 12 months ago, gasoline price $3.30 a gallon within the state, compared to a median of $three.42 nationwide. At that time, gasoline costs in 12 states were cheaper than in Alabama. Since then, the state’s prices have risen by only 24 cents per gallon in comparison with a nationwide average increase of 36 cents per gallon, making gasoline within the state far cheaper relative to the rest of the United States. The state helps keep prices low for drivers by limiting fuel taxes. The state’s excise tax of 16 cents a gallon is amongst the bottom within the county.
>Regular fuel worth per gallon: $Three.53
>Tax per gallon: 21.Four cents (fifteenth lowest)
>Variety of working refineries: 1
As of the second quarter of this 12 months, no state was cheaper to dwell in than Tennessee. One major purpose for the state’s low relative price of living was its low transportation prices, despite starting 2012 with 4 consecutive months of gas price will increase. Though the state has just one refinery, the price of fuel is 24 cents per gallon beneath the national average value. Prior to now month, gasoline costs in Tennessee have fallen by 12 cents a gallon, one in all the most important decreases in the nation.
>Regular gasoline value per gallon: $3.Fifty four
>Tax per gallon: 20 cents (tied for 11th lowest)
>Number of working refineries: 26
Texas is the nation’s largest oil refiner, processing virtually 4.Sixty six million barrels per day – more than a quarter of the nation’s output – in its 26 operating refineries. Like Louisiana, the state further helps keep gasoline costs low by not charging any state taxes aside from a 20-cent excise tax. Two of the most important public companies within the nation, Exxon Mobil Corp. (NYSE: XOM) and Phillips 66 (NYSE: PSX), are Texas-based mostly oil corporations.
>Regular gasoline worth per gallon: $3.57
>Tax per gallon: 20 cents (tied for eleventh lowest)
>Number of operating refineries: 18
Only Texas refines extra oil into gasoline than Louisiana, which has 18 working refineries processing nearly 3.2 million barrels per calendar day. The abundance of locally processed gas and the full absence of any state gas taxes aside from an excise tax make trips to the pump highly reasonably priced. The state can be dwelling to the Louisiana Offshore Oil Port, which, in keeping with the EIA, is the nation’s only port for offloading deep draft oil tankers.
>Regular gas price per gallon: $3.Fifty eight
>Tax per gallon: 17.3 cents (sixth lowest)
>Variety of operating refineries: Zero
Although one 12 months ago Missouri had the most cost effective gasoline within the U.S. in the past year the value of gas has risen by forty five cents per gallon – greater than in some other state. Despite the absence of any in-state refineries, Missouri has some of the nation’s lowest gas taxes, permitting fuel to be bought at comparatively low costs. Among the state’s metropolitan areas, St. Louis has the most cost effective fuel at simply $three.49 per gallon.
>Regular gas value per gallon: $3.58
>Tax per gallon: 21.Eight cents (16th lowest)
>Variety of working refineries: 2
Arkansas has entry to locally refined gasoline. It has two refineries of its own, and it borders Louisiana and Texas, the two largest oil refiners in the country as measured by barrels per day. Having numerous refineries nearby helps decrease the worth of gas for Arkansas drivers, who presently pay 18 cents much less per gallon than the national average of $3.78 a gallon. Arkansas also expenses simply zero.3 cents in other taxes per gallon in excise taxes.
>Common fuel worth per gallon: $3.Fifty eight
>Tax per gallon: 28.6 cents (20th highest)
>Variety of working refineries: 0
Georgia’s excise tax of 7.5 cents per gallon of gasoline is lower than any state aside from Florida’s. But with 21.1 cents per gallon in other charges and taxes, Georgians actually pay extra in gas taxes than residents of 30 other states. High taxes likely contributed to the state’s comparatively larger transportation costs midyear – probably the most costly amongst those states with the bottom gasoline prices. The excellent news for drivers, nevertheless, is that the worth of gas has fallen by 24 cents per gallon over the previous month, more than in any other state.
>Regular fuel value per gallon: $Three.60
>Tax per gallon: 20.1 cents (thirteenth lowest)
>Number of working refineries: Zero
In the second quarter of 2012, the relative price of transportation in Virginia was among the many country’s lowest. Low gasoline prices are seemingly one reason for this. Virginia is also one of the wealthiest states in the nation, with a median family revenue of $61,882 as of last yr. At present, Virginia charges 20.1 cents per gallon in total taxes and charges – greater than 10 cents per gallon below the petroleum refinery images yangon national average and inline with other states the place fuel is cheap