Tennessee (WGNS News) - Drivers in the Volunteer state are easing into the new year with a bit of welcome news at the pump. After a couple of weeks of small ups and downs, the statewide average for regular gas has settled at $2.50 a gallon. That’s seven cents cheaper than just a month ago and a full 24 cents below where we were this time last year.

AAA spokesperson Megan Cooper says the trend reflects a mix of steady oil supply and softer demand than we’ve seen in previous years. “We’re starting the year out with gas prices nearly a quarter cheaper than one year ago,” she said, noting that while global events can always nudge prices around, nothing on the horizon suggests a major shift. Drivers should expect the usual modest fluctuations, but nothing dramatic for now.

Some of the recent chatter has centered on developments in Venezuela, a country that once played a major role in global oil production. But analysts say its exports have been limited for years due to sanctions, and the broader market remains well-supplied. U.S. crude closed Friday at $57.32 per barrel—up just 58 cents from the week before—another sign that things are holding steady.

Across Tennessee, prices still vary by region. Nashville tops the list of the most expensive metro areas at $2.60, followed by Jackson at $2.55 and Cleveland at $2.53. On the lower end, Morristown drivers are seeing some of the best deals at $2.38, with Kingsport and Knoxville close behind at $2.42.

AAA updates its fuel price averages every day, pulling data from as many as 130,000 stations nationwide through credit card swipes and direct feeds. It’s a massive data stream that helps paint a reliable picture of what drivers are paying for a gallon of regular unleaded.