Diesel prices fall 8.4 cents to $3.053 per gallon

The average price per gallon of diesel gasoline dipped again, according to data issued this week by the Department of Energy’s Energy Information Administration (EIA).

Following a 7.6 percent decline last week, the national diesel average slipped another 8.4 cents to $3.053 per gallon, which is the lowest price per gallon since the week of October 4, when it was at $3.

Diesel has seen one weekly price gain over the last 30 weeks, going back to June 30, when it headed up $0.01 to $3.92 per gallon, with a 5.4 cent gain from $3.623 the week of November 3 to $3.677 the week of November 10.

Compared to the same week a year ago, the EIA said that prices are down 83.3 cents, with diesel off 96.8 cents since hitting a 2014 high of 4.021 during the week of March 10.

In its recently-issued Short Term Energy Outlook, the EIA pegged the average price for diesel prices in 2014 at $3.82 and $3.07 in 2015, with crude oil at $93.82 per barrel in 2014 and $62.75 in 2015.

The price per barrel of West Texas Intermediate crude oil is now at its lowest level in about five and a half years, trading at $46.07 on the New York Mercantile Exchange.

Oil prices have tumbled since a decision made earlier in November by the Organization of Petroleum Exporting Countries to not cut production levels, even though prices have continued to decline. With that decision, production levels remain capped at 30 million barrels per day, despite decreasing global demand, which, in turn, has led to downward pricing.

A Reuters report stated that oil prices have fallen 60 percent from their June 2014 peaks, driven down by rising production, particularly U.S. shale oil, and weaker-than-expected demand in Europe and Asia.