Gas prices are once again on the rise in California, leaving drivers feeling the pinch at the pump.
According to GasBuddy’s latest survey of more than 10,500 stations, the statewide average has surged 22.4 cents per gallon in the past week, bringing the average price to $4.75 per gallon. This figure marks an increase of 36 cents from a month ago and 11 cents from the same time last year.
Patrick De Haan, head of petroleum analysis at GasBuddy, noted that gas prices are climbing significantly across various regions, particularly in Northern California and the Bay Area.
“Gas prices have really started jumping up across areas of California,” De Haan said. “It is somewhat normal to see gas prices start to go up as we get closer to the end of winter and into spring, but a recent refinery fire at the PBF refinery in Martinez, along with other refineries shutting down for maintenance, has created supply constraints at the worst possible time.”
Typically, gas prices rise during this time of year, but this increase is occurring at a faster pace than usual.
“We usually see prices increase anywhere from 35 to 65 cents per gallon, but we’ve already hit that 65-cent mark. If there are new refinery issues, prices could climb even higher,” De Haan said.
Another long-term concern is California's dwindling refinery capacity. De Haan pointed out that the state has lost more than 60% of its refineries over the last 40 years.
He says stricter environmental regulations may lead to additional closures in the future.
“California has a lot of policies and regulations that cause an acute amount of pain at the pump — things like the highest gasoline taxes in the country, a low-carbon fuel standard, and a cap-and-trade program. All of that essentially drives prices up by over $1 a gallon,” De Haan explained.
The California Division of Petroleum Market Oversight issued a warning to drivers about the recent price spike, which follows the refinery fire in Martinez on Feb. 1. In a letter to Governor Gavin Newsom and state lawmakers, the agency noted that perceived scarcity — rather than rising crude oil or environmental costs — has been a significant factor in the increasing prices.
Looking ahead, De Haan predicts that prices will peak around mid-April, coinciding with spring break and Easter travel. However, he acknowledged that if no additional refinery issues emerge, some relief may be on the horizon.
“I think the increases should slow down this week. Prices may go up a little more in the next few weeks, but we could see a small dip before the weekend,” De Haan stated.