Energy Tomorrow Blog
Posted July 26, 2017
Nationally, the average price of a gallon of gasoline the third week of July was $2.392 – about 42 percent lower than the national average price at the same time in 2008, according to the U.S. Energy Information Administration. Retail gasoline prices haven’t been “sticky,” as Sen. Charles Schumer said on ABC’s “This Week,” suggesting that some sort of anti-Adam Smith force has kept them from decreasing. Yet, as we can see, they have decreased significantly over a time period that coincides with accelerated U.S. crude oil production (thanks, fracking).
Posted December 28, 2016
Posted November 23, 2016
Historically and culturally, Thanksgiving is this country’s calendar cue to be thankful, to be grateful, from household to household. As President Lincoln said in his 1863 proclamation creating the holiday, it’s a day to recognize the “blessings of fruitful fields and healthful skies.” This year is no different. Americans can give thanks for a number of things. The American Farm Bureau Federation tells us that the average cost of a Turkey Day feast for 10 this year is $49.87, a 24-cent decrease from last year’s average. (Alas, there’s no reported decrease in the remorse a number of us will feel from feasting a bit too much.)
Posted September 9, 2016
Looking back, the weight of scholarship and analysis had predicted that, rather than cause higher pump prices here at home as some claimed, exporting domestic crude would put downward pressure on U.S. gasoline prices. In fact, that’s what we’re seeing – abundant crude oil supply benefiting American consumers. U.S. crude exports are part of that market dynamic – while also helping to support domestic production and strengthening America’s balance of trade.
Posted May 27, 2016
When you head out for your Memorial Day drive, consider the current price of gasoline – the U.S. average retail price of $2.30 a gallon, which the U.S. Energy Information Administration (EIA) says is 47 cents lower than at the same time last year and the lowest average price just before a Memorial Day weekend since 2009.
Now, let’s all thank the U.S. energy revolution, which is playing a big role in consumer benefits, like those seen at the pump. EIA notes that lower gasoline prices reflect lower crude oil prices. And the global crude market wouldn’t be where it is without higher U.S. crude production.
Posted December 16, 2015
As winter approaches, the good news continues with the U.S. Energy Information Administration’s (EIA) Winter Fuels Outlook. Due to a “combination of warmer weather and lower fuel prices,” EIA projects household heating costs will be lower than the previous two winters.
Posted November 25, 2015
Posted September 10, 2015
An important step forward this week for legislation to end America’s outdated, 1970s-era ban on domestic oil exports: passage of the bill by a U.S. House subcommittee. Next a full committee vote and, perhaps before too long, a vote by the entire House. Yet, challenges remain.
No doubt the full Energy and Commerce Committee debate will be more vigorous. But that doesn’t diminish this week’s historic progress on lifting the export ban – a true relic from America’s energy past. “This has been a long day coming,” said Rep. Joe Barton of Texas, the bill’s author.
As Barton explained, we’re at this point largely because of America’s energy revolution – the surge in domestic oil and natural gas production resulting from American innovation, technology, shale reserves and hydraulic fracturing and horizontal drilling.
Posted September 9, 2015
API has a pair of new ads that drive home the economic and national security reasons for lifting America’s 1970s-era ban on exporting domestic crude oil.
The television and online campaign launched this week in a dozen states – including Colorado, Florida, Illinois, Pennsylvania and Virginia – and the District of Columbia. The campaign is part of a broader push emphasizing the importance of updating U.S. energy policies to reflect America’s rise as a global energy superpower.
Posted September 4, 2015
The U.S. Energy Information Administration (EIA) reports that the average retail price for regular gasoline on Aug. 31 was $2.51 per gallon – the lowest price for the Monday before Labor Day since 2004 and 95 cents lower than the Monday before Labor Day last year. EIA explains:
Declines in crude oil prices are the main driver behind falling U.S. gasoline prices. Lower crude oil prices reflect concerns about economic growth in emerging markets, expectations of higher oil exports from Iran, and continuing actual and expected growth in global crude oil inventories.
Certainly, the global markets for a variety of commodities may be influenced by concerns, feelings and inklings of one kind or another. Let’s focus on the tangible reason EIA cites for lower global crude prices – hence, lower prices at U.S. pumps: growth in global crude oil inventories. That refers to production and supply to the market. The story behind that story is that over the past six or seven years, the United States has led the world’s top suppliers of petroleum and other liquids in production and rate of production growth.