Costco gas prices Utah

Why are Utah gas prices still high?
September 1, 2014 – 12:38 pm

Gas prices have dropped in most places around the country but Utahns are still seeing higher-than-average prices at the pumps.

The average price of gas in Utah Tuesday, Sept. 8, was $2.80 per gallon for regular unleaded — only three cents down from last month’s average, according to the AAA’s Daily Fuel Gauge Report. The national average is $2.39 per gallon.

AAA Daily Fuel Gauge Report screenshot

And compared to states like New York, it seems like Utah’s gas prices aren’t budging. New York had an average price of $2.81 last month and is now seeing an average price of $2.58.

When you realize gas prices in Utah and New York are the same. What?!!!

— Brianna Bailey (@Briannabailey14)

But why are prices so high in Utah?

Some refineries near Salt Lake City have slowed production in the past few weeks, he said, which means the low cost per barrel doesn’t cover a decreased supply.

“If Utah’s refineries are doing’s going to be impacting Utah and other surrounding areas, ” DeHaan said.

DeHaan said this isn’t the only place still getting hit by high gas prices — most areas in the Rockies are all lagging. On top of the slowdowns in Utah refineries, a Sinclair refinery in Wyoming has been doing work for part of the summer and the effects have been felt region wide.

The maintenance has been the biggest that plant has ever seen, DeHaan said.

“Likely that demand was outpacing supply by a slight amount, ” he said, due to the maintenance and the plant’s inability to produce as much gas as usual.

The work on the Wyoming refinery should be finishing up soon, DeHaan said, which could lead drops in price in the coming weeks, similar to what happened to gas prices in Midwest states after BP’s Indiana refinery finished maintenance.

“Overall, (prices in) the weeks ahead should align with the trends with the national average, ” he said.

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