California Gasoline Is Now More Than Double The Price In Texas
California leads the nation in top gasoline prices, over double Texas, Mississippi, and Louisiana…
Gas prices courtesy of AAA
According to the AAA, the National Average Gas Price on October 1, 2022 is $3.80.
California lead the nation in price at $6.358 per gallon. That’s more than double the price paid in Texas, Mississippi, and Louisiana. Its nearly double the price paid in eight other states.
Oregon has the second highest average price at $5.41 per gallon. That’s about 95 cents less than California pays.
Mono County California has the dubious distinction of the highest county in the highest state at $6.937 per gallon.
Gavin Newsom’s Gas Price Premium
Please consider Gavin Newsom’s Gas Price Premium
Cash-strapped Americans have received relief from falling gas prices in recent weeks, but not Californians.
The average gas price in the Golden State this week surged to $6.29 a gallon—$2.50 more than the national average—and the reasons are worth distilling since Gov. Gavin Newsom wants to export the state’s energy policies nationwide.
Taxes add about 66 cents to the price of a gallon, about twice as much on average as other states. California’s cap-and-trade program and low-carbon fuel standard add roughly another 46 cents a gallon.
These climate regulations are causing refineries to shut down or convert to producing biofuels that are more profitable because of rich government subsidies. California lost 12% of refining capacity between 2017 and 2021 and is set to lose another 8% by the end of next year. Yet refineries outside of the state can’t produce its supposedly greener fuel blend.
So when California refineries experience problems, gasoline supply becomes tight and prices shoot up.
“If you’re a (refiner) on the Gulf Coast, your gross profit on gasoline is about $6.60 (per barrel of oil). If you’re in Los Angeles it’s about $101,” Tom Kloza of the Oil Price Information Service told the Mercury News.
Expect California Governor Gavin Newsom to run for President in 2024.
If you want to pay higher prices for everything, he’s the man to root for.
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