Best answer
Hefty taxes
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How high are gas prices in California compared to other states?
And it鈥檚 no secret that prices in California are well above those in the rest of the country 鈥?the current average price in California, about $4.75 per gallon, is about $1.20 more than Wednesday鈥檚 U.S. average, according to AAA. And prices are expected to go up some more before they go down, the U.S. Energy Information Administration projects.
Are gas prices going down?
After reaching a record high in mid-June, gas prices have cooled down. Gas prices have continued to decline since reaching an all-time average high of $5.02 in mid-June. Lower prices would help American households battle ongoing inflation.
Why are gasoline prices different in each state?
The main reason for the price disparity is that there are essentially seven major wholesale gasoline markets in the United States: two in California, another for the Pacific Northwest, and the remaining four spread across the rest of the country.
What is California鈥檚 鈥淧remium gas鈥?
California鈥檚 premium stems from the state鈥檚 environmental laws and its taxes on motor fuels, as well as the special blend of gasoline required in the warmer months.