Gas prices nearing 2020 high

COEUR d’ALENE — After the lowest gasoline demand in April since 1968, AAA says continued COVID-19 uncertainty and abundant gasoline stocks throughout the spring and early summer may keep pump prices from returning to where they were at the beginning of the year.

On Jan. 1, Idaho drivers paid an average of $2.68 for a gallon of regular, the most this year. After that, prices followed the usual winter trend as demand fell, then dropped dramatically when COVID-19 reached the Gem State. Gas prices in Kootenai County range from about $2 for a gallon of unleaded to about $2.50.

“While stages of reopening have put more drivers behind the wheel and more upward pressure on gas prices, the effects of the pandemic continue to reduce the number of work commutes and travel opportunities, and Idaho pump prices have held within a penny of $2.35 since the beginning of July,” a AAA press release said.

Experts estimate that U.S. fuel demand is at least 15 percent lower than expected this time of year.

“It’s been a quiet start to the summer,” said AAA Idaho Public Affairs director Matthew Conde. “The cheaper fuel prices are great for everyday life, but with the rise of COVID-19 cases in various parts of the country, Idahoans have limited ways to use these savings to their advantage, particularly when it comes to travel.”

This summer, 97 percent of travelers are opting for the flexibility of a road trip, in part to avoid the confines of a plane, train, or cruise ship. Based on low ridership, making jet fuel is expected to be a losing proposition until some time in 2021, and most refiners are also scaling back their production capacity to avoid flooding the market with additional gasoline and diesel products.

“Idaho and its neighboring mountain states are especially attractive to visitors during the summer, where the opportunities for outdoor recreation naturally tend toward social distancing,” Conde said. “While gas prices in the Gem State may bump a little higher due to increased tourism, the current thinking is that Idahoans should still pay less than they did to fill up on New Year’s Day.”

The price for a gallon of gasoline in Idaho is $2.35, 2 cents more than a month ago, and 57 cents less than a year ago.

Meanwhile, the U.S. average price is $2.19, which is 6 cents more than a month ago, but 58 cents cheaper than a year ago. Idaho ranks 11th in the country for most expensive gas prices. The Gem State usually falls between seventh and ninth place.