NewsNation

Gas prices could be lower in 2024

A motorist fills up the fuel tank of a vehicle at a Shell station Friday, Nov. 17, 2023, in Englewood, Colo. A big explanation for the recent decline in gas prices is seasonality — with prices at the pump almost always easing at this time of year. (AP Photo/David Zalubowski)

(NewsNation) — Drivers can expect to see continued declines in the price of gas in 2024, according to an analysis from GasBuddy.

The consumer group released its annual Fuel Price Outlook on Wednesday, projecting that the national average will drop from $3.51 per gallon this year to $3.38 in 2024. If so, it would be the second straight year of price decline.


GasBuddy projects that gas prices could dip below a national average of $3 a gallon this winter before potentially moving back up close to $4 per gallon in the summer.

Drivers in some West Coast cities could see $6 at the pump, but most major cities are projected to peak at around $4 a gallon.

“As 2023 fades away, I’m hopeful those $5 and $6 prices for gasoline and diesel will also fade into memory,” Patrick De Haan, head of petroleum analysis for GasBuddy, said in a news release. “The global refining picture continues to improve, providing more capacity and peace of mind that record-setting prices will stay away from the pump in 2024.”

Drivers have been dealing with high prices at the pump for the better part of the past two years as inflation drove prices up for everything from houses to cars to eggs. The average national gas price in 2022 was $4.06 a gallon, according to the U.S. Energy Information Administration.

But after reaching a record-high national average of $5.01 at one point in June 2022, according to AAA, prices have steadily gone down throughout 2023. Thursday’s national average was $3.12, about the same as a year ago. Monthly averages this year have ranged between $3.25 (December) and $3.95 (September), according to the EIA.

GasBuddy forecasts that the highest prices in 2024 will be seen at the peak of the summer driving season in May, with the national average potentially reaching $3.89 per gallon. Hurricane season may add uncertainty to prices later in the summer.

Diesel prices are also projected to drop in 2023, peaking at around $4.13 per gallon in March.