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Wednesday, September 10, 2014

Gasoline Consumption Declining

The government's EIA reports:
During the first quarter of 2013, gasoline consumption increased by only 6,000 barrels per day (bbl/d) over the same period during 2012. By the fourth quarter of 2013 the year-over-year increase in gasoline consumption had risen to an average 320,000 bbl/d.
This increase in consumption did not persist for long. During first-quarter 2014, consumption averaged 66,000 bbl/d higher than the same period in 2013. (The Federal Highway Administration reports a similar increase of 62,000 bbl/d for the first quarter of 2014.) During the second quarter of 2014, consumption began to show year-over-year declines in May and June, with an average increase for the period of 20,000 bbl/d. EIA expects continuing year-over-year declines during the second half of 2014, averaging 79,000 bbl/d.
The general outlook for motor gasoline is for declining consumption as average new vehicle fuel economy continues to improve. As new cars replace less-efficient older cars, the increase in the average fleet fuel economy is expected to outpace the growth in the driving age population and vehicle miles traveled and put continuing downward pressure on gasoline consumption.