News

Low gas prices saving the state at least $500k a month

Written by Ben Allen, General Assignment Reporter | Mar 25, 2016 12:32 PM
gas prices.jpg

Photo by AP Photo/Stephan Savoia

(Harrisburg) -- Lower gas prices are saving the state hundreds of thousands of dollars a month.

Go back to July 2014.

To fill up vehicles in the state fleet, Pennsyvlania was paying $3.21 for a gallon of gas.

But last month, the price was down to a $1.34.

Since the commonwealth buys about 900,000 gallons of gas a month, the drop in prices means savings sometimes approaching $1 million a month.

Troy Thompson is with the state's Department of General Services.

"It's good news in the fact that we're spending less on gas, it's good news that we've gotten the fleet down 25% from where it originally was when we started the process."

Thompson is referencing a 2012 initiative that cut the state fleet by nearly 2,000 cars.

"Each agency is billed for the amount of fuel that they used. And naturally, if that price is decreased, that allows them to save that money and put it into other areas where it may be used."

He says he knows that gas prices are on the rise again, but calls the situation a nice surprise.

Agencies are either putting the money towards other programs, or saving it.

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