AUGUSTA (AP) – The state energy office says the average cash price of home heating oil in Maine dropped by 2 cents per gallon during the past week and now stands at $3.18. That’s 87 cents higher than at this time last year.

The statewide survey found dealer prices ranging from $2.95 per gallon in southwestern and northern Maine to $3.30 in eastern Maine.

Kerosene prices were down a penny to $3.58 while propane for domestic heating rose 3 cents to $2.91.

Officials said wholesale fuel prices have begun to fall, reflecting lower costs for crude oil. In addition, a lower than expected drop in national inventories of distillate fuels is seen as an indication that that demand is softer than supply.

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