EIA Increases 2025 USA Diesel Price Forecast
by Andreas Exarheas
click here to read this article at Rigzone.com
*this article was not written by Roseland Oil & Gas
In its latest short term energy outlook (STEO), which was published on January 14 and completed its forecast on January 9, the U.S. Energy Information Administration (EIA) increased its U.S. on-highway diesel price forecast for 2025.
According to its January STEO, the EIA sees the diesel price averaging $3.66 per gallon in 2025. In its previous STEO, which was released in December, the EIA projected that the U.S. on-highway diesel fuel price would average $3.61 per gallon in 2025.
The EIA’s January STEO forecast that the diesel price will come in at $3.57 per gallon in the first quarter of 2025, $3.60 per gallon in the second quarter, $3.72 per gallon in the third quarter, and $3.76 per gallon in the fourth quarter.
In its previous STEO, the EIA saw the diesel price averaging $3.46 per gallon in the first quarter of this year, $3.52 per gallon in the second quarter, $3.69 per gallon in the third quarter, and $3.75 per gallon in the fourth quarter.
Both STEOs put the 2024 U.S. on-highway U.S. diesel price average at $3.76 per gallon. The EIA’s January STEO projected that the 2026 diesel price will average $3.64 per gallon. The organization’s December STEO did not include a projection for the 2026 U.S. on-highway diesel price.
Recent Price
In its latest fuel update, which was released on January 27, the EIA showed that the U.S. on-highway diesel fuel price came in at $3.602 per gallon on January 13, $3.715 per gallon on January 20, and $3.659 per gallon on January 27.
Of the five Petroleum Administration for Defense District (PADD) regions highlighted in the EIA’s latest fuel update, the West Coast was shown to have the highest on-highway diesel price as of January 27, at $4.274 per gallon. The Gulf Coast was shown to have the lowest regular gasoline price as of January 27, at $3.378 per gallon.
A glossary section of the EIA site notes that the 50 U.S. states and the District of Columbia are divided into five districts, with PADD 1 further split into three subdistricts. PADDs 6 and 7 encompass U.S. territories, the site adds.
According to the AAA Fuel Prices website, the average U.S. diesel price was $3.671 per gallon on January 29. Yesterday’s average was $3.674 per gallon, the week ago average was $3.667 per gallon, the month ago average was $3.504 per gallon, and the year ago average was $3.906 per gallon, the site showed.
The highest recorded average diesel price was seen on June 19, 2022, at $5.816 per gallon, the AAA site highlighted.
What Do You Pay For?
The EIA’s latest fuel update, which pegged the diesel price at $3.49 per gallon in December 2024, showed that 48 percent of that total went towards crude oil costs, 22 percent went towards distribution and marketing costs, 17 percent went towards taxes, and 13 percent went towards refining costs.
The EIA’s previous fuel update, which was released on January 21 and pegged the diesel price at $3.52 per gallon in November 2024, showed that 48 percent of that total went towards crude oil costs, 21 percent went towards distribution and marketing costs, 17 percent went towards taxes, and 14 percent went towards refining costs.
An EIA fuel update released in February last year, which pegged the retail price of diesel at $3.97 per gallon in December 2023, revealed that 44 percent of that total went towards crude oil costs, 22 percent went towards refining costs, 19 percent went towards distribution and marketing costs, and 15 percent went towards taxes.
by Andreas Exarheas
click here to read this article at Rigzone.com
*this article was not written by Roseland Oil & Gas