The Department of Energy is now predicting that the average national price of a gallon of diesel fuel in the U.S. in 2013 will be $3.92, a 5-cent drop from 2012′s price and a downward revision of 2 cents from April’s projection. The forecast is part of this Month’s Short Term Energy Outlook, produced monthly by the Department of Energy’s Energy Information Administration.
Moreover, the EIA is projecting that the average price of diesel in 2014 will drop another 13 cents from 2013′s price to average $3.79 in the year. Also, the price of diesel is expected to decline slowly throughout the year to a price of $3.77 by December.
The forecasts are based on sharp drops in the per barrel price of crude oil, which dropped more than $20 from early February to mid-April. The price did spike slightly in early May.
The price of diesel the rest of the year is expected to average $3.88 a gallon, EIA says.
For more from the Short Term Energy Outlook, visit EIA.gov.