Californians Feel the Pinch as Gas Prices Surge Past $5 Once Again
Californians are all too familiar with pain at the pumps but the return of $5+ gas prices is still tough to stomach. The current statewide average for regular gas has now breached $5 per gallon according to AAA, representing a 35 cent jump over the past month alone. Areas like Los Angeles and Orange County are seeing averages right around that psychologically daunting $5 mark as drivers face higher fuel bills.
Crude oil prices, the primary determinant of what consumers pay for gas, are a big factor driving prices upward. International oil currently sits above $80 per barrel, noted Doug Shupe of the Auto Club, contributing to increasing wholesale costs that get passed down to drivers. When many motorists are fueling up for long weekend drives or daily commutes, collective demand can exacerbate price hikes at the pump.
Things are Likely to Get Worse Before They Get Better
Unfortunately for drivers, experts warn that gas prices have further to climb in California. The state is set to transition to its costlier summer-blend gasoline in the coming weeks, which is estimated to tack another 15 cents or so per gallon due to its lower volatility formulation mandated for hot weather.
With oil prices showing no signs of dropping substantially and seasonal factors about to kick in, motorists can expect to pay significantly more to fill up than even last month’s elevated levels. Only major disruptions to global fuel supply or demand could potentially provide meaningful gas price relief for Golden State consumers in the short term.
