Diesel Price Slides 2.3 Cents, DOE Says

Reversing a three-week trend, diesel fuel prices slipped 2.3 cents to fall back below $1.50 per gallon. With the decline, the Department of Energy said, the national average price of diesel fuel fell to $1.478 a gallon.

Diesel fuel is the primary fuel for trucking, and fluctuations in its cost can affect the bottom line for trucking companies.

The price of gasoline, another commonly used motor fuel, rose 1 cent a gallon to $1.454, DOE reported.

The survey taken by DOE’s Energy Information Administration came just one day after a group of the world’s largest oil producers agreed to add 1.5 million barrels to its average daily output.

Bloomberg News reported Sunday that the Organization of Petroleum Exporting Countries would increase production 6.5% to 24.5 million barrels per day.

The EIA survey showed declines in diesel price in every major geographical region of the United States, with the largest decrease coming in the Midwest. America’s heartland saw diesel prices fall 2.8 cents per gallon.

The broadbased decline erased 23% of the gains diesel prices made during its runup to close 2002 and start 2003.

Each week, the EIA surveys 350 diesel-filling stations to compile a national snapshot price of the fuel.