$2.99 Gas Threatens Climate Goals

By Douglas McIntyre • December 2, 2024

Mike Birdy Pexels

Gas prices recently hit a three-plus-year low. The average gallon of regular nationwide dipped under $3. Low gas prices are widely believed to slow EV adoption. High gas prices, notably when they reached $5 in 2022, were an incentive to use less expensive electricity.

Based on American crude production, the likelihood that OPEC+ will increase output to gain market share, and a slowing of demand in China, the largest importer in the world, gas prices are expected to stay low and even fall—crude oil trades below $70. If the Middle East crisis stabilizes, worry about a supply disruption will crater.

EVs Are Good For The Environment

EV sales have faced headwinds for months, and without the high gas price incentive, the industry faces concerns about range, charging time, the number of chagrin stations, tire wear, and low battery charging levels in cold weather. New EVs also cost about $10,000 gas-powered cars, on average. The fact that EVs help lower greenhouse gas millions is lost in household economics.

The heaviest driving days of 2024 are over so that US gas demand will dip. The price of gas is likely to stay low for the balance of the year