Since the gasoline market is global, even if a state's supply comes from somewhere other than the Gulf, the pump price will reflect the market price. Between August 29 and September 6, the average price of regular unleaded gasoline in Nebraska skyrocketed 55 cents per gallon. Since September 6, prices have dropped 36 cents. This week, gasoline prices fell a few cents each day bringing prices under $3. This reflects the beginning of the restoration of the gasoline supply chain as refineries slowly return to operation and key pipelines see gasoline flow more freely. The situation is improving, but the supply system is a long way from normal. High prices are incentive for higher imports to the United States and increased refinery production. Ultimately, increased supply will put downward pressure on prices. With significant volumes of refinery capacity expected to remain shut down for an indefinite time, consumers should not expect prices to decline quickly, since the supply disruption is still occurring. Prices are expected to continue downward but could remain elevated for some time to come.
Nebraska's weekly average gasoline price fell 25 cents from last week to $2.92, which was $1.09 higher than the price at this time last year. Weekly average prices in the surveyed cities ranged from $2.82 in Columbus to $2.99 in North Platte. As of September 9, the Midwest gasoline stock level came back up into the normal range with 49.5 million barrels.
Nebraska's diesel average fell 9 cents from last week to $2.81 per gallon. According to the weekly price report, this week's state average was 91 cents higher than the price at this time last year. Weekly average prices in the surveyed cities ranged from $2.76 in Columbus and Norfolk to $2.84 in Kearney. On the supply side, the Midwest distillate fuel inventory level was at the upper boundary of the normal range with 23.1 million barrels of diesel fuel as of September 9.
An archive of this report and historical weekly prices are available.