With the summer season approaching faster than ever, Americans all over the nation are now paying more than average at the local pump. This is for the first time in the last 5 years that the gas prices in California have pushed past the mark of $4. The gas prices in California are never cheap, especially given the fact that it tends to adhere to the strict code for environmental standards which isn’t followed in any other state. However, the unexpected maintenance issues in the local refineries forced this state to search elsewhere for usable gas. The cost of transporting the imports has now made the gas prices hike 40 cents as the month started.
Gas prices averaged $4.01 in the state on Wednesday which further rose to the mark of $4.02 the next day. This is the highest the prices have been for the state since the year 2014, as confirmed by the AAA Fuel Gauge Report. Now, by comparison, the national prices increased to $2.84 in the current week which is close to 10 cents higher than the position they were the last time the previous year.
Jeanette Casselano, the spokesperson for AAA, mentioned in a statement that the residents are now experiencing a substantial increase in the gas prices this year all across California. Gas prices all across the nation tend to spike during the springtime. This is because the U.S. refineries stopped a section of their overall operations in order to initiate the production of summer gasoline blends. However, the unexpected repairs for maintenance in the Rocky Mountain and West Coast refineries have now squeezed inventory which drove the gas prices up in different areas of the country.
According to Dan Mc Teague, the Senior Petroleum Analyst working with Gas Buddy stated that this is a compounded issue leading to the price explosion. From the 10 refineries located in California, 6 are either opting to follow the maintenance schedule or either undergoing some unexpected repairs, as confirmed by the AAA Fuel Gauge Report. Marathon’s Los Angeles Refinery and Chevron’s El Segundo Refinery have both experienced production issues.
Given the fact that the state supplies its gas to various other regions, some states such as Arizona and Nevada have also experienced an increase in the gas prices. Gas prices might get stable with time as the refineries complete the upgrades to resume production.