It adds about 10 cents of additional cost per gallon of gas, said Borenstein.
Yet, in the fall of 2022, California gas prices shot up to a record high of nearly $6.50 per gallon after multiple refineries suffered outages.
The shrinking number of oil refineries in California is another reason there’s a growing gap between California and the rest of the country’s gas prices.
Those 11 refineries produce 90% of California’s gas and diesel fuel, according to California’s energy department.
But Borenstein has another theory for why the price of gas is so much higher in California.
Persons:
That’s, Severin Borenstein, Borenstein, Ronald Reagan, ” Reagan, David Paul Morris, ”, “, Patrick De Haan, ” Borenstein
Organizations:
Los Angeles CNN —, AAA, University of California Berkeley’s Haas School of Business, California Air Resources Board, Gov, Carrell, Act, Bloomberg, Getty, American Lung Association, US Energy Information Administration, Drivers, Shell, Mobil
Locations:
United States, California, Golden, Angeles, Los Angeles, San Francisco , California, Hawaii, Texas, Oklahoma, Louisiana, “ California, Chevron