LA Auto Club: Gas Price Spike Slowing

LOS ANGELES--Aug. 29, 2003--Gasoline prices in Southern California and the Southwest, after having rocketed upward for three weeks, appear to be reaching a plateau, according to the Automobile Club of Southern California's Weekend Gas Watch.

Currently, the average price of self-serve regular unleaded gasoline in the Los Angeles-Long Beach area is $2.137 per gallon, up 13.8 cents from last week, but only up 0.3 cents from yesterday. The Los Angeles/Long Beach price is still 44.7 cents higher than last month and 50.7 cents higher than this time last year. In San Diego, the price is $2.177, which is 14.6 cents above last week's level, but only 0.3 cents higher than yesterday. The San Diego price is 46.5 cents higher than last month and 51.3 cents above last year. Motorists in the central coast pay an average price of $2.233, which is even with yesterday's price, 15.1 cents higher than last week's price, 42.1 cents higher than last month and 52.1 cents higher than last year.

"The Arizona pipeline has been repaired, spot prices are more than 20 cents lower than last week, and following Labor Day, demand should drop off," said Carol Thorp, Auto Club spokesperson. "These facts point to prices falling lower by mid-September. Gasoline inventories are still low, so the price decline won't be immediate."

The Weekend Gas Watch monitors the average price of gasoline at popular destinations for motoring trips. Average prices as of 12:01 a.m., Aug. 29, 2003:

Area                         Regular  Change from    Record Price
                                       last week        

Los Angeles-Long Beach       $2.137   +13.8 cents  $2.167 (3/22/03)

San Diego                    $2.177   +14.6 cents  $2.211 (3/20/03)

Santa Barbara-
Santa Maria-Lompoc           $2.233   +15.1 cents  $2.233 (8/27/03)(a)

Las Vegas                    $1.962   +14.3 cents  $2.063 (3/25/03)

Phoenix, Ariz.               $1.684   +14.8 cents  $2.146 (8/26/03)(a)

Note a: Indicates price is a new record.