Energy survey finds natural gas, oil prices have remained relatively unchanged
DALLAS - Demand for retail gasoline continues to be at summer-like levels.
Analysts said regional supplies remain steady.
A new energy survey released Thursday found that crude oil prices remain level, and that's good news for consumers.
Fourth of July weekend is around the corner, that’s a time when many folks hit the road.
While gas prices are slowly inching up ahead of the expected travel demand, a new energy survey offers some encouraging long-term news for consumers.
With the summer travel season revved up, gas prices are starting to climb.
According to AAA, the statewide gas price average in Texas is $3.21 for a gallon of regular unleaded fuel. That price is 7 cents more than on this day last week.
That's still 37 cents cheaper than the national average.
"The main thing is the survey suggests prices remaining at similar levels," said Kunal Patel, senior business economist for Dallas Federal Reserve.
On Thursday, the Dallas Federal Reserve released its quarterly energy survey, comprised of feedback from 200 oil and gas firms in the region.
The report found oil and gas production increases have slowed, but so have cost increases and overall activity remains unchanged.
"The main takeaway is it looks like the price of crude oil is going to remain range bound. Currently, the price of oil is about $70 per barrel," Patel said.
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"The purpose is really just to get a feel for how energy companies are feeling across the state," said Dr. Joshua Rhodes, who is a research scientist at UT-Austin.
He said the data is encouraging, especially when it comes to what we end up paying at the pump.
"The same gas prices that we're paying maybe adjusted for season. So, because it's a little bit cheaper in the winter to make the blends of gasoline than it is, in the summer it’s looking to be staying roughly about the same," Rhodes said.
The survey also revealed encouraging news around natural gas prices.
Energy execs expect the price of natural gas to hover at just under $3 per MMBTU.
The majority of our power plants burn natural gas to make the electricity that we use to cool our homes.
Rhodes added that we get about half our electricity from natural gas each year, so the pricing is significant.
"If it stays like that, $3 is much less than, you know, natural gas was in 2022. So maybe we will get some relief from some of those, you know, some of those heating bills that we may have experienced this past winter," Rhodes said.
In short term, AAA does expect gas prices to continue to climb due to the fact that demand for fuel will likely remain high over the summer, which is a popular time of year for family road trips.