San Diegans are feeling the pinch at the pump, as the average price of self-serve regular gasoline has significantly risen to $4.779 per gallon—a four-month peak. The figures reflect an increase of 3.5 cents from the previous week, 23.3 cents from last month, and 8.8 cents higher than a year ago, per the Times of San Diego.
Contributing to the surge, California's gas excise tax climbed by 1.6 cents per gallon on July 1st, now sitting at 61.2 cents—ranking as the nation's highest. In addition, stricter low-carbon fuel standards expected to shrink greenhouse gas emissions were implemented, likely influencing producers and the market. CBS8 highlights these regulations alongside testimonies from locals experiencing the financial strain firsthand.
The forthcoming closures of two major refineries, Phillips 66 and Valero, could reduce 20% of California's oil production. This development stems from the new regulatory environment that challenges refinery operations in the state. The closures could further skew the already escalated gas prices unless mitigated by alternative measures.
Senator Brian Jones is pushing for legislative solutions to alleviate the rising costs and supply pressures. Jones is highlighting the untapped reserves beneath California's soil by advocating for increased oil drilling in Kern County. "Where we sit on one of the nation's largest oil reserves, and we just haven't, this governor just hasn't submitted the permits to get the oil out of the ground," Jones stated in a CBS8 interview.
