Phoenix, Ariz., Oct. 29, 2009. As Halloween approaches this weekend, Arizona motorists are being haunted by higher fuel prices as the price of gasoline increases for the second straight week. Yet, local gasoline prices remain among the lowest in the nation. Statewide, the current fuel average is $2.521 per gallon, an increase of eight cents from last week. Wyoming is the only state that holds lesser statewide average at $2.494 per gallon. Today’s nationwide average sits at $2.691 per gallon, an increase of nearly 7.5 cents from last week.

After achieving a 2009 high of $82 per barrel last week, this week, the price of crude oil receded to the $77 per barrel range after the Department of Energy’s weekly report revealed an increase in fuel supplies. Today, however, the price of the commodity rose to the $79 per barrel range as a result of the data released by the US Commerce Department, which revealed the economy expanded by 3.5 percent in the third quarter of the year.

“During the fall, we don’t typically experience an upswing in fuel prices, as we’ve made the switch to the winter blend of fuel and demand is seasonally soft,” said AAA Arizona Public Affairs Director Linda Gorman. “However, after seeing their profits take a nosedive last fall, refiners are currently keeping a close eye on supply and demand. As a result, production cuts, coupled with a higher crude price, have resulted in rising pump prices.”

“As illustrated this week, the price of crude oil will continue to fluctuate based on economic reports. However, it appears as though the commodity is settling in the high $70 per barrel range,” added Gorman. “As a result, pump prices should stabilize once they catch up to the price of the commodity and higher wholesale prices.”

In Arizona, Tucson drivers continue to pay the least for fuel in the state with an average of $2.319 per gallon, while Flagstaff motorists continue to pay the most to fill their tanks with an average fuel price of $2.725 per gallon. Nationwide, Wyoming motorists are paying the nation’s lowest fuel price with an average of $2.494 per gallon, while California motorists continue to pay the most for fuel in the lower 48 states with an average of $3.011 per gallon.

Motorists can visit www.AAAAZ.com/news/fuelnews.htm for fuel price information and gas saving tips or go to www.AAA.com/fuelfinder to locate the station with the cheapest gas in their neighborhood. They can also visit AAA’s Fuel Cost Calculator at www.fuelcostcalculator.com, which can help drivers plan out their fuel costs so they can budget their travel expenses in advance.

*The BTU-adjusted price of E-85 is the nationwide average price of E-85 adjusted to reflect the lower energy content as expressed in British Thermal Units - and hence miles per gallon - available in a gallon of E-85 as compared to the same volume of conventional gasoline. The BTU-adjusted price calculated by OPIS and AAA is not an actual retail average price paid by consumers. It is calculated and displayed as part of AAA's Fuel Gauge Report because according to the Energy Information Administration E-85 delivers approximately 25 percent fewer BTUs by volume than conventional gasoline. Because "flexible fuel" vehicles can operate on conventional fuel and E-85, the BTU-adjusted price of E-85 is essential to understanding the cost implications of each fuel choice for consumers.

AAA Arizona’s Weekly Fuel Gauge includes data from gasoline stations in every Arizona community. However, only major metropolitan areas are shown in the table above.  Local prices in some communities might be higher or lower than the averages shown here.