CALIFORNIA- AAA released the results of a survey along with a press release stating that prices for gas in the golden state are the highest they’re been in 5 years increasing 40 cents.
AAA explains the increases are due to the following factors:
“Pump prices have spiked in California as unexpected and planned maintenance and the switchover to more-expensive summer blend gasoline continues, ultimately increasing the national average. Out of California’s 10 refineries, six have seen a reduction in refined products output, including gasoline, due to maintenance upgrades and necessary repairs. Chevron’s 290,500 b/d El Segundo refinery and Marathon’s Los Angeles 383,000 b/d refinery are among the refineries that are experiencing production challenges. As the refineries work to resume normal operations, California’s gasoline resupply has been helped by imports, which means increased transportation costs to distribute fuel to gas stations and more expensive prices for motorists. California’s gas price average has increased 40-cents since the beginning of the month. The state’s average today is $4.01, the most expensive pump price seen in the state since July 2”.
What they don’t explain in factoring that $4 a gallon price is the amount of taxes Californians pay per gallon, which is about $0.74 a gallon.