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Coffee County gas price average climbs 27 cents

Gas prices across the state continued to rise over last week, climbing nearly 18 cents, on average. The Tennessee Gas Price average is now $3.15 which is 42 cents more expensive than one month ago and nearly 11 cents more than one year ago.  

The average cost for a gallon of gasoline in Coffee County is $3.15 – a 27 cent increase compared to last week’s average of $2.88.  

“Our local gas prices are continuing to be volatile thanks to strong gains in crude oil pricing,” said Megan Cooper, spokeswoman, AAA – The Auto Club Group. “We’re seeing higher crude oil prices based on the belief that fuel demand will ramp-up as China reopens its economy. Since China is the largest oil importer in the world, and oil is a globally traded commodity, global fluctuations in supply and demand can have an effect on the prices we see at the local gas pump. It’s very likely that the volatility in our pump prices will continue again this week, and where prices go from here will be contingent on what happens in the oil market this week.”

Quick Facts

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  • 15% of Tennessee gas stations have prices below $3.00 
  • The lowest 10% of pump prices are $2.96 for regular unleaded 
  • The highest 10% of pump prices are $3.40 for regular unleaded
  • Tennessee is the 8th least expensive market in the nation 

National Gas Prices

Drivers appear to be taking advantage of the recent milder weather in much of the nation by fueling up and hitting the road. The increase in gasoline demand and slightly more expensive oil pushed the national average for a gallon of gas higher by 12 cents since last week to $3.42.

According to data from the Energy Information Administration, gas demand rose from 7.56 million to 8.05 million b/d last week. Meanwhile, total domestic gasoline stocks increased by 3.5 million bbl to 230.3 million bbl. If demand remains robust, drivers will likely see pump prices rise through the week.

Today’s national average of $3.42 is 33 cents more than a month ago and ten cents more than a year ago.

National Oil Market Dynamics

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At the close of Friday’s formal trading session, WTI increased by 98 cents to settle at $81.31. Crude prices rose at the end of last week due to increased market optimism that crude demand may be more robust than expected this year. In particular, the market believes that the re-opening of China’s economy, despite high coronavirus infection rates, will help to bolster global crude demand, while supporting elevated prices. For this week, crude prices could continue to climb if ongoing market optimism persists.  

Drivers can find current gas prices along their route using the AAA TripTik Travel planner.

Tennessee Regional Prices 

  • Most expensive metro markets – Johnson City ($3.19), Cleveland ($3.19), Nashville ($3.18)
  • Least expensive metro markets – Morristown ($3.08), Knoxville ($3.08), Chattanooga ($3.13)

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