California gas prices 57% higher than national average; Gov. Gavin Newsom intercedes
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Forget Halloween haunted houses — it's lately felt like the scariest thing in the Coachella Valley might just be the cost of a tank of gas.
But while many stations are still charging over a $6 a gallon for regular grade, experts say residents are now starting to get some relief. Better yet, prices are expected to continue to drop after the governor took a step to increase the amount of fuel available to be sold.
How much can I expect to pay today?
The average price of a gallon gas in the Riverside area was $5.912 on Friday, according to Automobile Club of Southern California spokesperson Marie Montgomery. She said Riverside is the closest market to the Coachella Valley for which her club compiles average gas prices.
That was just above the state average of $5.878, which is nearly $2 above the national average of $3.746. California’s average is also about 80 cents more than the price in the second highest-priced state, Washington, where a gallon was averaging $5.073.
Who has the cheapest gas in the Coachella Valley?
Prices at stations in the Coachella Valley appear to generally be consistent with the county and state averages, according to the gas price monitoring service GasBuddy. The service said prices across the valley spanned from $4.99 to $6.49.
Prices sometimes change more quickly than gas-price trackers can keep up. But as of Friday, it appeared the cheapest gallon of regular was $4.99. That price could be had at a few places, including the Agua Caliente Fuel stop near the intersection of Bob Hope Drive and Ramon Road in Rancho Mirage. (Gas was the same price at the Sam's Club on Monterey Avenue in Palm Desert, but a membership to the club is required.)
In the west valley, a gallon was going for $5.19 at the Pilot station south of the Indian Canyon and Interstate 10 interchange, while a gallon could be had for $5.29 at the Sinclair east of the intersection of Indio Boulevard and Monroe Street in Indio.
What did the governor do?
Montgomery said prices have started dropping across the state after Gov. Gavin Newsom sent a letter to the California Air Resources Board in late September directing it to allow refineries to begin making and distributing winter-blend gasoline, which is cheaper to produce.
The blend sold in the summer months is required to be configured to reduce the amount of hydrocarbon emissions produced in the summertime months, when ozone formation is a bigger concern. That gas is more expensive as a result. The state typically allows the cheaper winter blend to be sold starting in November.
A press release issued by the board said Newsom had made that direction to address the high prices and determined the action was “necessary for the immediate preservation of the public peace, health and safety or general welfare.” The release said the agency will take steps to mitigate any air quality impacts caused by the early move to the winter fuel mix.
Will prices keep decreasing?
Montgomery said that while gas prices are notoriously difficult to predict because of the many factors involved, the measure seems to be having its intended effect on prices. She noted that wholesale gas prices plummeted on Tuesday to a level not seen since early May, when gas was selling for well under $5 a gallon across the region.
“That is hopeful sign, but whether that actually happens again or not is hard to know,” she said. “But prices are dropping very rapidly right now.”
Why did prices get so high?
Montgomery said one factor in the high prices had been recent planned and unplanned maintenance at several of the refineries that provide much of the gas sold in the region.
The air resources board and California Energy Commission have released statements in recent days that also cite other factors.
Those factors include rising global oil prices and what the energy commission has described as “an unusual transaction took place on the California spot market on Friday, September 15, that caused the market price of gasoline to increase by nearly $0.50 per gallon.”
The commission said that transaction has continued to cause volatility on the market and “it is not an exaggeration to say that one trade likely cost California drivers many millions of dollars at the pump.”
Reuters has reported that the global price of oil climbed after Russia, Saudi Arabia and other OPEC+ nations cut production and exports.In Riverside, the average gas price peaked at $6.15 a gallon last month. That was within striking distance of the all-time average record of $6.37, which was set just over a year ago on Oct. 5, 2022. Still, the current price is 59.7 cents more than it was one month ago.
With prices suddenly dropping quickly, Montgomery said it could become hard to determine what a good price is. For that reason, she recommended customers shop around virtually using apps such as GasBuddy or AAA’s mobile app to ensure they are not overpaying for gasoline.
How California stacks up nationally
The five most expensive states for gasoline
California ($5.878)
Washington ($5.073)
Nevada ($4.982)
Hawaii ($4.871)
Oregon ($4.692)
The five cheapest
Georgia ($3.187)
Mississippi ($3.189)
South Carolina ($3.257)
Louisiana ($3.272)
Alabama ($3.281)
Data reflects average price of gas according to AAA's website.
Correction, Oct. 6, 2023: An earlier version of this article gave the incorrect name for a retailer selling some of the cheapest gas in the area.
Paul Albani-Burgio covers breaking news and the city of Palm Springs. Follow him on Twitter at @albaniburgiop and email him at paul.albani-burgio@desertsun.com.
This article originally appeared on Palm Springs Desert Sun: California gas prices 57% higher than national average; Newsom intercedes
