Although gas prices have been declining over across the nation for quite some time now — from $3.58 a gallon to $1.89 on average — they hit rock-bottom low in some parts of Michigan.
As a result of oil dipping to below $28 a barrel and a “price war” between three gas stations in Houghton Lake region, prices at least one location in the state — Beacon & Bridge Market — went as low as 47 cents, according to GasBuddy.com, a service used to track gas prices.
"It was crazy. The police were directing traffic. Totally insane," one anonymous Beacon & Bridge Market employee told CNNMoney.
Moreover, the reduction in gas prices across the country is expected to continue as crude oil prices move lower.
“Motorists can expect gasoline prices to continue to decline in most areas over the next week as gas stations continue to pass along decreases in wholesale prices,” stated Patrick DeHaan, GasBuddy’s head petroleum analyst, in a blogpost.
The U.S. government’s Energy Information Administration reiterated the prediction in a report released earlier this month.
The prices will “reach a seven-year low of $1.90/gal in February 2016, before rising during the spring,” the EIA forecasted, adding, “The price of U.S. retail regular gasoline is forecast to average $2.03/gallon (gal) in 2016 and $2.21/gal in 2017, compared with $2.43/gal in 2015.”
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The last time the country’s average gas price went below $1.75 was in January 2009.