RI Drivers See Some Gas Price Relief Just In Time For July 4 Weekend

RHODE ISLAND — Bet you never thought you would get a little excited over paying $4.54 at the pump.

But that was likely the reaction of many drivers in the last couple of days, who saw drops in prices just in time for the Fourth of July holiday after a punishing escalation all through the spring.

According to AAA Northeast, the average price for a gallon of regular unleaded gasoline in Rhode Island fell another penny overnight to $4.89. That is seven cents lower than it was a week ago when it was $4.96 and 13 cents off the all-time high of $5.02 on June 13.

And while the statewide drop remains modest — and still about $2 higher than Independence Day weekend in 2021 when it was $2.99 — drops in certain parts of the state have been more substantial where gas prices fell 20 to 30 cents in just the past few days.

The national average is $4.88 as of Tuesday morning.

GasBuddy compiles lists of cheapest gas stations across the state with Village Gas on Danielson Pike in North Scituate coming in tied for the lowest at $4.54 as reported Monday night. Roadrunner on Hartford Avenue in Johnston was also 4.54 Tuesday morning.

Bristol County has the lowest gas prices overall at an average of $4.84, but Providence remains stuck at about $4.89. Newport County is the priciest part of the state, with gas prices checking in at about $4.91.

(Do you know of a gas station in your area with lower prices this holiday weekend? If so, let Patch readers know in the comments section of this story.)

Why are prices starting to fall?

Two reasons are falling crude oil prices because of recession fears, and changing driving habits because of recent high prices.

According to QuoteWizard, Rhode Island drivers are using 115,000 fewer gallons of gas each day than in 2021 with the average driver now using about 384 gallons every six months.

That ranks Rhode Island as the third-most gas-guzzling state in the entire country.

The global price of a barrel of crude oil fell to $107 this week after sitting at $110 last week.

"Fear is not a good reason to move a market like the one for oil, but it is a powerful motivator,” AAA Spokesman Andrew Gross said. "The cost of oil accounts for nearly $3 for every $4.89 at the gas pump. Consumers should find more relief when fueling up if oil prices drop further."

What's unclear is how much President Joe Biden's push for temporarily eliminating the 18-cent federal gas tax — and pressure on oil companies to pass any price drops on to the consumer — has had on the recent tumble.

So far, four states have approved gas tax holidays, according to Penn Wharton Budget Model analysts at the University of Pennsylvania. Several Rhode Island lawmakers have also proposed a suspending the state gas tax until the end of the year.