San Joaquin Valley gas prices are dropping and could continue to drop in the coming weeks, according to AAA of Northern California.
The average price of a gallon of unleaded gasoline in Fresno has dropped 27 cents in the last month to an average $3.55 a gallon, according to AAA’s monthly gas price report released Tuesday.
Prices in the Visalia-Tulare-Porterville area fell 21 cents to an average $3.54.
Valley prices are running slightly below the state average of $3.59. National prices are even lower, at an average $3.19 Tuesday — a new low for 2014.
Several factors are driving California’s prices down, including low demand, abundant supply, the state’s switchover to the less-expensive blend of winter fuel, increasing oil production in the U.S. and falling global crude oil prices.
“Gas prices this year have remained low and could continue to drop as we approach the holiday season,” said Cynthia Harris, AAA of Northern California spokeswoman. “That would be welcome news for travelers.”
AAA’s report also noted that analysts are wondering if the Organization of Petroleum Exporting Countries will change production to push oil prices higher.