News Summary
Gas prices in Southern California are on the rise, with Los Angeles County averaging $4.697 per gallon, marking a significant increase over the past weeks. Prices have surged due to fluctuations in wholesale costs and supply instabilities. In Orange County, prices have also climbed, further complicating the situation as annual gas tax adjustments and stricter environmental regulations loom. Despite predictions that prices may rise further, officials urge caution against exaggerated claims. California currently has the highest average gas prices in the nation, with projections suggesting continued increases in the coming years.
Los Angeles, California – Gas prices in Southern California are experiencing a significant surge, with the average cost of a gallon of self-serve regular gasoline in Los Angeles County reaching $4.697. This figure marks the highest level since June 7 and represents the 13th rise in the past 14 days. Over the last two weeks, prices have climbed steadily by 8.3 cents, including an increase of 1.3 cents just on Thursday.
In comparison to previous pricing, the current average is 5.3 cents higher than last week, 22.7 cents greater than a month ago, and 8.1 cents up from a year ago. Despite the current rise, prices have decreased significantly by $1.796 since they hit an all-time high of $6.493 on October 5, 2022.
Meanwhile, in Orange County, the average cost of gasoline also ascended, marking the 22nd increase in 23 days. The average price rose by three-tenths of a cent to $4.679, the highest recorded since May 30. Orange County prices have gone up by 23.7 cents over the same period, including a 1.6-cent spike on Thursday. The region’s current average is 6.1 cents more than one week ago, 25.6 cents higher than a month ago, and 13.6 cents above the figures from last year. The Orange County price has seen a decrease of $1.779 from its peak of $6.458 on October 5, 2022.
Industry experts attribute the spike in prices to fluctuations in wholesale gasoline costs in Los Angeles, a situation exacerbated by recent supply instabilities. Although wholesale prices have recently fallen, the increase pattern in retail gasoline has persisted.
On a broader national scale, the average price for gasoline in the United States saw a slight decline of six-tenths of a cent, settling at $3.188. This average is now 1.6 cents lower than one week ago, 5.3 cents lower than a year ago, but 4.8 cents higher than one month prior. This national average has dropped by $1.828 from its record high of $5.016 set on June 14, 2022.
In a related development, California drivers will be facing an increase in gas prices due to a forthcoming annual inflation adjustment for the state’s gas tax, effective Tuesday. The gas tax rate will rise from 59.6 cents to 61.2 cents, a policy which was introduced in 2017 to fund essential road repairs.
Additionally, stricter environmental fuel standards will take effect simultaneously, which may contribute to further price increases. The California Air Resources Board mandates yearly reductions in the carbon intensity of gasoline, a move that has drawn criticism from some lawmakers alleging that these regulations will exacerbate costs for consumers.
Predictions concerning future price increases suggest that gas prices may rise by as much as 65 cents more than current levels. Research from UC Davis estimates the impact could be smaller, between 5 to 8 cents per gallon. Despite these predictions, officials from the governor’s office assert that claims about dramatically higher gas prices are exaggerated and driven by misinformation.
California’s average gas price was recorded at $4.85 as of the previous Friday, showing a decline of approximately 20 cents compared to last year. However, forecasters warn that state gas prices could escalate to $8 per gallon by 2026, as projected by a professor at USC.
The outlook for gas prices is further complicated by planned refinery shutdowns that may exacerbate supply issues and lead to higher prices. As California heavily relies on marine shipments for oil imports, replacing the lost supply from refinery closures presents a significant challenge. Moreover, the state’s high taxes and extensive environmental fees contribute to its status as having the highest average gas prices in the nation.
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Additional Resources
- My News LA
- Wikipedia: Gasoline
- Stacker
- Google Search: California gas prices
- NBC Los Angeles
- Google Scholar: California gas prices
- ABC7 News
- Encyclopedia Britannica: Gas Prices
Author: STAFF HERE HOLLYWOOD
The Hollywood Staff Writer represents the experienced team at HEREHollywood.com, your go-to source for actionable local news and information in Hollywood, Los Angeles County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Hollywood Bowl summer concerts, the Hollywood Christmas Parade, film premieres at TCL Chinese Theatre, and festivals at the Magic Castle. Our coverage extends to key organizations like the Hollywood Chamber of Commerce and Visit Hollywood, plus leading businesses in entertainment, dining, and tourism that define the local economy. As part of the broader HERE network, including HERELosAngeles.com, HEREBeverlyHills.com, HEREAnaheim.com, and HEREHuntingtonBeach.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
