Hampton Roads gas prices have been in decline since Hurricane Matthew brushed the region earlier this month, a AAA study found, but are still higher than they were a year ago — a difference felt by Peninsula businesses.
Demand for gas in the region dropped significantly after the hurricane, which hit the first weekend in October, the release said. Gas prices had increased earlier this month, but have been on a slow decline since Monday, said Katharine Beachboard, AAA spokeswoman in Virginia Beach.
Thursday, the average price in Hampton Roads was $2.06 per gallon, according to AAA. That’s about 2 cents lower than a week ago and a month ago.
Prices in the region are up from a year ago by about 11 cents, AAA found.
Jahad Ali, operational manager at North End Taxi in Newport News, said the company hasn’t noticed the drop in prices since the hurricane, but has definitely noticed the increase over last year.
“It is affecting the bottom line,” Ali said.
Ali tells the drivers to always be on the look out for cheap gas prices, he said.
Drivers for Jeff’s Flowers Of Course, based in Newport News, also keep an eye out for low prices, said Jeff Kremp, owner.
“My drivers know where the cheaper prices are and will pay cash for a discount,” said Kremp.
When the drivers make deliveries to the more rural areas south of the James, such as Smithfield and Carrollton, they sometimes try to fill up there, said Kremp.
The company raised the delivery charge a couple years back, from $5 to $10 on the Peninsula, because of rising gas prices, said Kremp. The delivery charge does not usually fluctuate with gas prices, but the company did raise the charge when gas hit $2.
The company also tries to take care of more deliveries in one trip, sometimes up to a dozen, in order to save gas.
“Fortunately we’re a larger florist and we deliver a lot of stuff so we can do that,” said Kremp. “Regardless of what the price of gas is, we’re going to get the flowers delivered, but it does cut into our profits.”
The statewide average on Thursday sat at $2.089, while the national average was $2.225, according to AAA.
Looking ahead, hopefully motorists will continue to see the decline in gas prices as the holiday season approaches, said Beachboard.
Gas prices usually drop in the fall due to fewer people driving and also the switch to winter-blend gas, but continued unplanned outages could put pressure on the national average, according to a AAA news release.
Clift can be reached by phone at 757-247-7870.
