NJ gas prices are dropping, but will the average dip below $3?

⚫ Fuel prices in New Jersey today are much lower than this time last year

⚫ NJ prices are well below the national average

⚫ The positive can trend can continue, barring any refinery disruptions

New Jersey looks ready to join the club of several states that are selling gasoline for less than three bucks per gallon on average.

As of Thursday afternoon, the average price for a gallon of unleaded fuel was around $3.06 in the Garden State, according to AAA. That's down about six cents from a month ago, and down nearly 70 cents from the same time last year.

The national average is around $3.20 per gallon. As of Wednesday, more than a dozen states were selling gasoline at an average below $3 per gallon.

There are spots in New Jersey that are pumping unleaded for under $3. Patrick De Haan, senior petroleum analyst at GasBuddy, expects New Jersey's average to hit the high $2 range in the next couple weeks.

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"What's going on really is seasonal in nature," De Haan told New Jersey 101.5. "A lot of Americans think this has to do with the election or there's some conspiracy, but it's actually much more simple — Americans just don't drive and use as much gasoline in the cooler months than they do in the summer."

And stations have been making the switch over to a cheaper "winter blend" of gasoline, and that contributes to downward pressure on prices.

Also contributing to the trend: oil prices in the last couple weeks have fallen to their lowest level since December 2021, due to concerns over China's economy and the possibility that OPEC will restore oil production, which was cut last year.

The price of fuel was significantly higher in New Jersey this time last year due to refinery outages toward the end of summer.

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"Gas prices are declining earlier because of a lack of hurricanes, a lack of major refining disruptions," De Haan said. "The news is good right now."

According to GasBuddy's heat map, the average price for a gallon of regular is just under $3 in Camden, Cumberland, Passaic, and Warren counties.

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