GOODER AND HARDER, CALIFORNIA: California’s Attacks on Big Oil Will Only Drive More People Out of the State.
California does indeed have the highest gasoline prices in the nation. Those prices have fallen quite a bit in recent months to $4.82 a gallon. That’s still $1.38 a gallon higher than the national average—and $1.70 a gallon higher than in Texas. Oil companies are national operations, so a normal person might wonder why those companies are so much greedier in California than they are elsewhere.
The answer isn’t hard to find. For starters, California has the highest gas taxes in the nation. (We also get the least bang for our buck given the state of our freeways, but that’s a separate issue.) Those higher taxes instantly make our gasoline 48 cents a gallon higher than in Texas. There’s still a pricing gap, but despite officials’ blathering about a “mystery gas surcharge” here in California, it’s not a mystery at all.
“California’s tough environmental rules mandate that gasoline sold within the state be produced according to strict formulas that reduce pollution,” per a Los Angeles Times analysis. “But the gas is more expensive and difficult to produce than dirtier fuel sold elsewhere. Few refineries outside the state are equipped to produce it.” The report adds the number of California refineries is plummeting and our state has no interstate pipelines, thus forcing us to rely on costlier forms of transportation.
In January of 2022, Snopes ran the headline: Yes, U-Haul Ran Out of Trucks for People Moving Out of California.
I’d expect to see a repeat, but where will they get the gas to power them?