The 45.5 million Americans who hit the road this Thanksgiving will find the most expensive gas prices for the holiday in three years. The average price for regular unleaded gasoline in Tennessee is $2.54 - 40 cents more than Thanksgiving Day 2016. That amounts to an increase of $6 to fill an average size gas tank. Although it's up in the 'Boro compared to a year ago, we are enjoying lower prices than other areas--$2.14 per gallon at many local retailers.
After shooting-up two weeks ago, motorists will be thankful to hear that prices at the pump are beginning to sink lower. Tennessee gas prices declined an average of 2 cents in the last three days. The discount comes as the U.S. Government reported a weekly increase in crude and gasoline inventories, and growth in domestic oil production. This allowed oil prices to weaken from their 2-year highs, and wholesale gasoline prices to drop nearly 10 cents.
"Gas prices should decline 5-10 cents through Thanksgiving weekend," said Mark Jenkins, spokesman, AAA - The Auto Club Group. "Although gasoline demand will be high this week, it will be cheaper for gas stations to purchase their fuel than a week ago. Since retailers profit more off of concessions in their convenience stores than the sale of gasoline, they will be more likely to lower gas prices as a way to attract passing motorists.
"Some of the lowest prices will be in areas where multiple gas stations are within close proximity of each other, leading to higher competition. Oftentimes gas stations wait until Friday to lower their prices, in hopes that managers are rival stations are not paying attention, or gone for the weekend. Some of the highest prices are often at gas stations in rural areas, near airports, and at interstate on/off ramps."
- The most expensive gas price averages in Tennessee are in Jackson ($2.39), Nashville ($2.34), and Knoxville ($2.34)
- The least expensive gas price averages in Tennessee are in Chattanooga ($2.22), Cleveland ($2.23), and Clarksville-Hopkinsville ($2.24)
Oil prices remain a major influencer of prices at the pump, and any surprise shifts in oil would squash the downward pressure on gas prices. The Energy Information Administration estimates that half the price of gasoline is steered by oil prices. Year-over-year figures illustrate that point. Last Thanksgiving, when motorists paid 30-40 cents less for gasoline, the price of oil was $10 per barrel cheaper. Earlier this month when gas prices jumped, the price of oil had just climbed nearly $6. Analysts at OPIS expect oil prices to trend lower through the rest of the year and early 2018, as demand drops during the winter. That would help drag gas prices lower too. Conversely, oil prices could face upward pressure depending on the outcome of an OPEC meeting later this month, where oil producing countries will decide whether to extend an agreement to cut production in effort to reduce global oversupply and raise prices.
Gas Price Tools for Reporters/Consumers
- GasPrices.AAA.com - Daily national, state, and metro gas price averages.
- AAA Mobile app - Free app that shows current prices at a gas station near you.
Highs and Lows of 2017
- National: the highest average price for gasoline was $2.67 on September 8. The lowest was $2.23 on July 5.
- Florida: the highest average price in was $2.73 on September 9. The lowest was $2.13 on July 17.
- Georgia: the highest average price was $2.76 on September 12. The lowest was $2.08 on July 5.
- Tennessee: the highest average price was $2.60 on September 10. The lowest was $1.99 on July 5.
CURRENT AND PAST PRICE AVERAGES
 |
Sunday | Saturday | Week Ago | Month Ago | One Year Ago | Highest Price on Record |
| National | $2.544 | $2.549 | $2.560 | $2.457 | $2.143 | $4.114 (7/17/2008) |
| Florida | $2.495 | $2.502 | $2.529 | $2.443 | $2.109 | $4.079 (7/17/2008) |
| Georgia | $2.393 | $2.398 | $2.414 | $2.415 | $2.116 | $4.164 (9/15/2008) |
| Tennessee | $2.315 | $2.321 | $2.336 | $2.290 | $1.967 | $4.118 (9/15/2008) |
