Price and demand for gas falling

The average price for a gallon of gasoline in the Charlotte area has been below $4 for more than a month now and still decreasing, according to AAA Carolinas and the Oil Price Information Service.

That's good news for Charlotte-area drivers, who are enjoying some price relief after being hammered with drastic price increases at the pump the past year. The average price for a gallon of regular peaked July 17 at $4.07 and has fallen 11 percent since then to $3.63 today.

The average price today, however, is still one-third more than it was a year ago.

The federal government says demand for gasoline has fallen compared to last year and that prices should remain below the $4 a gallon mark through next year, according to the federal Energy Information Administration's short tern energy outlook report released this month. The decrease in demand is due to high prices and conservation efforts from drivers. Though, the report predicts the decrease in demand next year over 2008 will be smaller.