With a weak economy projected to continue through most of 2009, along with lower crude oil prices, the average diesel price in 2009 is projected to be $1.08 lower than the average in 2008, according to the Short-Term Energy Outlook, a monthly report from the Department of Energy (DOE).
DOE is predicting that prices next year will average about $2.73 per gallon. That compares to last week's price of $2.809 per gallon, 13.5 cents less than the week before. The price of diesel has been in a nose-dive since mid-July.
The 2009 narrowing of margins reflects a projected slowing of the growth in distillate fuel usage outside the United States and a weakening of refining margins during the economic slowdown, according to the DOE report.
Last week, the average price of low sulfur diesel was $2.699 per gallon, down 13 cents from the week before. Ultra low sulfur diesel rang up at the pump at $2.822 per gallon, down 13.6 cents.