AAA: Gas Prices Continue to Fall Across Florida Due to Coronavirus Cutting Demand in Half

Gas prices continue to drop in Florida as coronavirus continues to impact driving habits.

According to a study from AAA released on Monday, the average gallon of gas in Florida cost $1.91 on Sunday, below the national average of $1.94 a gallon, and seven cents lower than the start of last week. In the past 40 days, prices in Florida, on average, have fallen 50 cents a gallon.

“Demand for gasoline in Florida has reduced by as much as 50 percent, according to the Florida Petroleum and Marketers Association,” AAA noted. “If the state average eventually slips below $1.74 per gallon, Florida gas prices would be the lowest since January 2009. While it’s still possible we reach that benchmark, last week’s rally in crude oil prices is beginning to raise the floor on how far pump prices could fall.

“Crude oil prices rose on reports that various countries like Saudi Arabia and Russia are considering cutting oil production to offset low global fuel demand – caused by COVID-19,” AAA added. “OPEC and its allies scheduled an emergency meeting to tackle the topic. The meeting was scheduled for Monday, then postponed to Thursday. The delay could cause crude prices to slip early this week. Regardless, crude oil prices rose 37 percent last week. Friday’s daily settlement of $28.34 per barrel is the highest in two weeks.”

Mark Jenkins, a spokesman for AAA and the Auto Club Group, weighed in on Monday.

“The recent crude oil rally is not yet enough to force gas prices higher, but it does affect how much lower they can go,” said Jenkins. “Historically, gas prices rise like a rocket and fall like a feather. In this case, retail prices are still slowly falling to catch up with the massive discounts in oil and gasoline values that we saw in the past six weeks. While it’s unclear which way oil prices will go this week, the plunge at the pump should continue this week.”

Gainesville had the most expensive gas in Florida with an average of $2.11 a gallon followed by the West Palm Beach-Boca Raton market at $2.07 a gallon and Miami at $2.02 a gallon.

Three markets–the Villages, Jacksonville and Punta Gorda–had the least expensive gas in Florida at $1.80 a gallon.

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