Gasoline Prices Hold Steady Nationally: What’s Driving the Change? The story today centers around the national average price for regular unleaded gasoline , which is currently sitting at $3.165 per gallon, according to AAA’s latest update as of May 5, 2025.

This price reflects a small, yet steady fluctuation over the past week, highlighting a relatively quiet period at the pump across much of the U.S. #Pahalgam Terrorist Attack India orders nationwide defence drills as Indo-Pak tensions rise What is a mock drill & what to expect during the May 7 war-like emergency blackout exercise A woman spy who helped India defeat Pakistan in 1971 Prices for regular unleaded haven’t shifted dramatically day-to-day — they remained the same as yesterday’s average and have only moved up 1.6 cents from last week’s $3.149. Compared to a month ago, though, prices have dropped more notably from $3.262, and when you look back a year, the difference is even more significant, down from $3.652. Why are gas prices lower than last year? Let’s take a closer look.

One major factor behind the lower prices at the pump this year is the decline in crude oil prices.

As of May 1, 2025, West Texas Intermediate (WTI) crude closed at $60.59 per barrel, while Brent crude was at $62.37, both lower than typical highs from last year.

The price for Louisiana Light Sweet crude came in at $62.30, a small increase from the previous day, but still relatively soft overall.

Also Read: Gold prices rise ahead of Fed decision: Is the rally a signal of inflation fears and global uncertainty? This drop in oil prices directly affects gasoline production costs.

For instance, the RBOB gasoline spot price in New York Harbor stood at $1.82 per gallon, with no change from the previous trading day. Prices on the Gulf Coast were slightly higher at $1.99, while Los Angeles saw $2.29 per gallon, which actually dropped 0.6%. Live Events And let’s not forget the 3:2:1 crack spread — a way of measuring refining margins.

In the Gulf Coast region, it was at $20.79 per barrel, down 3.3%, suggesting refiners are earning a bit less, which sometimes filters through to retail prices.

What are the state-by-state price trends for regular unleaded? Gas prices can vary a lot depending on where you live.

According to AAA’s national data, the price ranges from around $2.65 to $4.77 per gallon, depending on the state.

Generally, northeastern states like Vermont, New Jersey, and Connecticut are still seeing higher prices, while southern and central states are benefiting from lower averages.

For context: Highest recorded average price for regular gasoline was $5.016 per gallon on June 14, 2022.

Diesel hit an even steeper peak at $5.815 per gallon on June 19, 2022.

As of now, the diesel national average is $3.532, down from $3.639 a month ago and way down from last year’s $3.982. Diesel price changes often reflect shifts in freight demand and heating fuel use, so this drop indicates a potentially more stable energy market at the moment.

How are other fuel types like premium and E85 moving? It’s not just regular unleaded that’s shifted.

Here’s a quick snapshot of the current national averages: Mid-grade: $3.633 (down from $3.737 last month) Premium: $3.991 (down from $4.090 last month) Diesel: $3.532 (down from $3.639 last month) E85: $2.590 (down from $2.742 last month) While these prices have edged down slightly, they’re still significantly below 2024 levels.

For example, premium gasoline was priced at $4.446 per gallon a year ago. What’s happening in the broader energy market? Looking beyond gasoline, other energy costs are fluctuating too. In the natural gas market: New England is seeing prices at $2.69 per million BTU. Midwest prices are a bit higher at $2.89. Northwest gas saw a dramatic 39.1% price drop to just $0.86. On the electricity side, prices are swinging widely.

For example, Mid-Atlantic electricity surged by 49.5%, landing at $71.74 per MWh, while Southern California dropped nearly 25% to $15.51 per MWh. These shifts matter, especially for those watching energy policy, utility bills, and inflation.

So, what’s next for gas prices? Right now, things seem calm at the pump.

But as summer approaches, prices often creep up due to increased travel and seasonal demand.

Add to that any changes in global crude oil supply or refinery maintenance, and we could see more movement soon.

But for now, the regular unleaded gasoline price at $3.165 per gallon offers a bit of relief to drivers — especially compared to where we were a year ago. FAQs : Q1: What is the current national average for regular unleaded gas? The national average is $3.165 per gallon as of May 5, 2025.

Q2: Are gas prices lower than last year? Yes, regular gas is down from $3.652 a year ago.