Average Price of Gasoline Continues to Fall

The average retail price of gasoline fell for the third straight week nationwide as well as in California, due to declining oil prices and increasing oil production. California motorists are paying an average of $1.752 a gallon for self-serve regular gas, down nearly 2 cents a gallon from the week before, according to the Energy Information Administration. The U.S. retail price for regular gas fell 2.8 cents to $1.475 a gallon in the last week, the EIA’s weekly survey of 800 gasoline stations found. A year ago, Californians were paying 12.8 cents a gallon less and the U.S. average was 33.5 cents a gallon lower. Gasoline began rising sharply in mid-January because of high crude oil prices brought about by OPEC production restrictions. But late last month, OPEC agreed to increase production. Oil prices have since fallen more than 30%. Oil futures prices plummeted nearly 5% on Monday, with the May contract for West Texas intermediate settling at $23.85 a barrel, down $1.19, on the New York Mercantile Exchange.