AAA: Gas prices won't deter holiday travel

AAA says 11 percent of Americans — 34.8 million — will travel 50 miles or more during the Memorial Holiday period, with nearly nine in ten doing so in motor vehicles.

Motorists in Idaho and the West will find that gas prices have risen at a time when they've been dropping nearly everywhere else.

Since the year-to-date peak price of $3.94 on April 6, the national average price has fallen for 42 of 45 days, decreasing 26 cents to an average of $3.68 a gallon. But refinery problems in California and Washington have led to tight inventories and average prices of $4.24 in Washington and $4.33 in California.

Idahoans enjoyed prices lower than the national average this year, until about two weeks ago, but the average price has held steady dropping no lower than about $3.76 since April 1. Idaho's average price today is $3.81, eleventh highest in the U.S. and four cents more than a year ago, according to AAA Idaho.

"We believe Idaho prices are influenced by the tight inventories of our neighbors to the West," said AAA Idaho spokesman Dave Carlson. Any diversion of product otherwise intended for the Gem State, likely means regional retailers are paying more and charging more for the gas in they're selling."

At the close of trading on the NYMEX on Monday, West Texas Intermediate (WTI) crude oil settled at $92.57. Less than two weeks ago, WTI was trading at $106.00 a barrel.

Trading at the lowest levels since October, these losses have been led by increasing global economic concerns — most notably Greek sovereign debt issues impacting the euro zone.

"So lower oil prices have not translated into lower gas prices in this region in this part of the country," Carlson said.

Even so, AAA predicts the slow, steady improvements in the economy should translate into a modest 1.2 percent increase in the number of travelers this holiday period compared to a year ago. An improved employment picture in the Mountain States may boost travel numbers this summer, though high gasoline prices may not allow a robust spending recovery.

Year-over-year travel for this holiday is expected to improve 1.4 percent in Idaho, with auto travel anticipated to rise by 1.6 percent compared to 2011.

AAA Idaho expects nearly 167,000 Idahoans will drive or ride in motor vehicles 50 miles or more during this holiday period from Thursday, May 24 through Monday, May 28.

Weather permitting, camping and outdoor activities are expected to be a major draw for Idahoans.