AAA Reports Pump Prices Above $2 in 49 States

DES MOINES, Iowa, Dec. 13, 2005 -- AAA reports that, after weeks of declining gas prices, Americans once again are paying more at the pump, with retailers charging an average of more than $2 per gallon in all but one state -- Utah. The nationwide average price for self-serve regular gasoline dropped to a season low of $2.122 on December 4 before reversing course and rising 5.8 cents to $2.180 as of today.

"The increase in gas prices reflects a surge in oil prices back above $60 per barrel in the last ten days, as well as a corresponding increase in the NYMEX futures price wholesale price of gasoline to $1.68 per gallon," said Phil Wedgewood, AAA Minnesota/Iowa spokesperson. "Oil and gasoline prices also have been driven higher by the arrival of cold winter weather, which creates demand for more energy."

In addition, reports of refinery problems in Venezuela and a terminal fire in Great Britain both are helping push pump prices higher. All these factors, plus the increased demand anticipated during the approaching holiday season, should keep the national average gasoline price between $2.15-$2.25 per gallon between now and the end of the year.

Looking ahead, U.S. fuel prices typically turn down in the new year, and don't encounter much upward pressure until late February or early March, when the west coast begins transitioning to summer grade fuel.

Reports for December 13, 2005, reflect the following average prices per gallon for self-serve, regular unleaded gas:

                                   Current        Month Ago      Year Ago
  National                          $2.18           $2.32         $1.87
  Iowa                              $2.14           $2.15         $1.78
  Cedar Rapids                      $2.18           $2.16         $1.84
  Davenport                         $2.18           $2.17         $1.84
  Des Moines                        $2.15           $2.06         $1.71
  Sioux City                        $2.12           $2.16         $1.81
  Waterloo                          $2.02           $2.11         $1.71

AAA's Fuel Gauge Report is based upon data from the Oil Price Information Service, the nation's most comprehensive source of petroleum pricing statistics, and can be found at http://www.fuelgaugereport.com/ .

AAA ( http://www.aaa.com/ ) offers automotive, travel, insurance and financial services to more than 45 million members in the United States and Canada. AAA Minnesota/Iowa is part of The Auto Club Group, with 4.1 million members in eight Midwest states.