Why Gas Might Fall Below $1 Per Gallon This Year

What's Hot

How to Cut the Cable TV Cord in 2017Family

8 Major Freebies and Discounts You Get With Amazon PrimeSave

Study: People Who Curse Are More HonestFamily

8 Creative Ways to Clear ClutterAround The House

15 Things You Should Always Buy at a Dollar StoreMore

Pay $2 and Get Unlimited Wendy’s Frosty Treats in 2017Family

5 Reasons to Shop for a Home in DecemberFamily

This Free Software Brings Old Laptops Back to LifeMore

Should You Donate to Wreaths Across America? A Lesson in Charitable GivingAround The House

6 Reasons Why Savers Are Sexier Than SpendersCredit & Debt

Resolutions 2017: Save More Money Using 5 Simple TricksCredit & Debt

10 Free Things That Used to Cost MoneyAround The House

7 New Year’s Resolutions to Make With Your KidsFamily

10 Simple Money Moves to Make Before the New YearFamily

The 3 Golden Rules of Lending to Friends and FamilyBorrow

A price-tracking website says 99-cents-per-gallon gas is "becoming a strong possibility." Find out which states are recording their lowest prices in more than a decade.

Nine states are currently experiencing the lowest average gas prices in 12 years, GasBuddy reports today.

The price-tracking website even states that 99-cents-per-gallon gas is “becoming a strong possibility.”

Patrick DeHaan, senior petroleum analyst for GasBuddy, says that he “wouldn’t be shocked to see a few stations in these states as low as 99 cents a gallon.”

The nine states that are now seeing the lowest average gas prices since early 2004 are:

  1. Oklahoma ($1.37)
  2. Indiana ($1.45)
  3. Kansas ($1.46)
  4. Ohio ($1.47)
  5. Michigan ($1.49)
  6. Minnesota ($1.52)
  7. Wisconsin ($1.54)
  8. Illinois ($1.57)
  9. North Dakota ($1.63)

The national average is $1.728 per gallon as of today, according to AAA.

CNN Money reports that falling prices at the pump stem from the large supply of oil that is flooding the market due to:

  • Strong U.S. production
  • The end of Iranian sanctions
  • The refusal of some members of the Organization of the Petroleum Exporting Countries (OPEC), like Saudi Arabia, to cut back production to support prices

One factor that could actually reverse the trend and raise the future price of gas is the oil tax recently proposed by President Barack Obama to support new investments in the nation’s transportation system.

The White House calls it “a new $10 per barrel fee on oil paid by oil companies,” but MarketWatch reports that the tax would likely not be paid by oil companies, who would instead pass it on to consumers. It could increase the price of refined fuels by 20 to 25 cents per gallon.

However, don’t expect to see such a tax anytime soon. Reports say the measure is not expected to get through Congress.

What’s your take on the continued fall of prices at the pump? Sound off in our Forums. It’s the place where you can speak your mind, explore topics in-depth, and post questions and get answers.

Stacy Johnson

It's not the usual blah, blah, blah

I know... every site you visit wants you to subscribe to their newsletter. But our news and advice is actually worth reading! For 25 years, I've been making people richer without making their eyes glaze over. You'll be glad you did. I guarantee it!


Read Next: In Less Than 30 Seconds, You Can Be Earning Cash Back on Everything You Buy Online

Check Out Our Hottest Deals!

We're always adding new deals and coupons that'll save you big bucks. See the deals to the right and hundreds more in our Deals section.

Click here to explore 1,825 more deals!