As we approach the end of summer, diesel prices continue to slip downward. Every region in the United States saw a decrease in average diesel prices from July to August, according to the final diesel report of the month put out by the U.S. Energy Information Administration (EIA). Diesel prices have steadily been decreasing since March 2014. The EIA predicted a national average of $2.59 for August, but the month concluded slightly higher with an average price of $2.683. The price is down -$0.201 from last month and down -$1.198 from August 2014. The lowest average price in the U.S. was $2.458 in the Gulf Coast, closely followed by $2.568 in the Midwest. The highest average price was $2.935 in California, followed by the West Coast at $2.815.
Small, but Steady Falls
There was a fairly even split among regions that saw prices drop less than 20 cents and ones that dropped 20 or more. There were four regions that experienced a drop smaller than 20 cents: Central Atlantic, the Midwest, Rocky Mountain region and California. The smallest decreasing region came from the Rocky Mountain region where prices dropped by 14 cents from $2.769 to $2.621. The Central Atlantic saw the largest decrease less than 20 cents with -$0.199 from $3.004 to $2.805. California and the Midwest fell in between with lowered prices of $2.935 and $2.509, respectively.
Six other regions experienced a price decrease of 20 cents or more. The West Coast except California saw the largest price decrease of -$0.23 from $2.896 to $2.666. Both the Gulf Coast and New England had the second largest drop in price around 21 cents. The West Coast, the East Coast and Lower Atlantic all experienced a price drop around 20 cents. The median price drop sat between the Lower Atlantic and the East Coast with an average of -$0.2005.
The EIA projects diesel prices will drop for September to $2.50 per gallon. It is also predicted that prices will start to creep back up for the remainder of 2015 and approach $3.00 per gallon by March 2016.
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