United Group Insurance

AAA: With a busy travel weekend ahead, Iowa gas prices hold steady

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August 26th, 2024 by Ric Hanson

(Radio Iowa) – The last holiday of summer is just ahead and tens of thousands of Iowans will hit the road for the Labor Day weekend. AAA-Iowa spokesman Brian Ortner says the record-breaking summer travel season will wrap up with what’s anticipated to be another exceptionally busy holiday for get-away vacations. “The Labor Day weekend is up 9% compared to last year, and the good news is that the cost of travel domestically is down 2%,” Ortner says, “so it’s great for consumers, and great to see people back out on the roads and taking that last summer trip.”

Since most Iowa kids are already back in school, regional road trips tend to be the most popular Labor Day option for families. Because of that, Ortner says other vacationers see this as an opportunity to travel the world, with the expectation of smaller crowds at popular sites. “Domestic airfares are 2% less compared to last year,” Ortner says. “Hotels are up a little bit compared to last year, about 7% but that balances out if you’re renting a car, which is 16% cheaper this Labor Day holiday compared to last year.”

The majority of vacationers over Labor Day will be traveling by motor vehicle, and while electric cars are becoming more common, most cars, trucks and SUVs still run on gasoline. Ortner does -not- expect any major jumps in gas prices in Iowa before the weekend. “Gas prices, thankfully, have remained steady, hovering around that $3.20 cent per gallon average across the state, and even with the popularity of summer road trips, gas demand is down,” Ortner says. “Daily driving habits have changed post-pandemic, tempering price spikes.”

Gas prices vary widely across Iowa. The most expensive fuel is reported in Dubuque at $3.45 a gallon, while Sioux City has the cheapest gas at $2.98.