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Why are gas prices going up in California
Why are gas prices going up in California
Feb. 16, 2026, 2:47 p.m. PT
California drivers have been paying more at the pump in recent weeks.
In the past month, the average price of gasoline has increased by 38 cents in the Golden State, rising from $4.205 a month ago to $4.589 on Monday, Feb. 16, according to data from the American Automobile Association.
The nation is seeing an average gasoline price of $2.929 per gallon, as Los Angeles-Long Beach is seeing an average of $4.618 and San Francisco an average of $4.809, the AAA data shows.
While the current price may feel high to California drivers, it is lower than the same time last year, when the statewide average was $4.84 per gallon, Kandace Redd, senior public affairs specialist with the Auto Club of Southern California, said.
The current price also falls short of the state high of $6.43 in June 2022, Redd said.
“But, while today’s prices are not at record highs, they’re still taking a toll on family budgets,” Redd said. “And, so a lot of people are thinking: ‘OK. Why are gas prices so high in California?’”
Why are gas prices going up?
The reasons behind the recent surge in gasoline prices in California are multifaceted, according to Redd.
“As we’ve already seen in the news, one of them is that the Valero is preparing to close its refinery in Benicia this April,” Redd said.
Gov. Gavin Newsom’s Office announced in January that the “Benicia refinery will continue producing gasoline through April 2026, and then continue importing gasoline into Northern California beyond April once the refinery fully idles.”
“The Newsom administration and Valero will continue working closely together to explore opportunities for continued refinery operations and to ensure fuel supply reliability during California’s ongoing energy transition,” the governor’s office said.
At the same time, two refineries in Southern California are also undergoing planned maintenance: “PBF Energy has scheduled routine maintenance for the Torrance refinery, and the Phillips 66 refinery in Los Angeles is undergoing its final shutdown maintenance,” according to Redd.
“Now, when fewer refineries are producing fuel at full capacity, the overall gas supply tightens, and that typically pushes prices up,” Redd said.
The state uses a special blend of gasoline called California Reformulated Gasoline, which is required by the California Air Resources Board to help reduce emissions and smog, according to Redd.
As such, more than 90% of the state’s gasoline is produced in state, Redd said.
“So, when there’s a refinery outage, or let’s say whether some maintenance is planned or unplanned, or something unexpected happens with a refinery, it can quickly lead to price increases for drivers,” Redd said
On top of the decrease in refinery output driving up costs, refineries are starting to produce the “more expensive summer blend gasoline,” according to Redd.
“We know that under the Clean Air Act, gas stations must switch to what’s called the summer blend fuel,” Redd said. “The main goal there is to reduce smog and improve air quality.”
Under federal law, nearly all gasoline sold in the country from June 1 to Sept. 15 must be “summer” gasoline, which “has to meet different performance and environmental specifications than fuel sold during the winter, fall and spring,” according to the American Fuel & Petrochemical Manufacturers.
The deadline is weeks away, but Redd said many refineries have started to do the extra processing required to produce the summer blend of gasoline.
“So that added cost is a big reason why we usually see gas prices go up as we head into the summer driving season, or even a little sooner,” Redd said.
What are you really paying for at the pump?
California often leads the nation in gasoline prices, Redd said.
“We’re paying almost twice as much as drivers in other parts of the country, and unfortunately, that seems to always be the price that we have to pay here, living in California,” Redd said.
But what people often don’t think about, Redd said, is what goes into the cost of a gallon of gasoline.
Redd said the cost can be broken down into four main costs: crude oil, refining, distribution and marketing and taxes and fees.
Crude oil cost, which is driven by global supply and demand, counts for about 47% of the price, Redd said. Refining costs, or what it costs to turn crude oil into gasoline, count for 16%.
“And then, of course, the distribution and marketing costs,” Redd said. “That adds roughly 20% covering delivery to gas stations and keeping those gas stations running.”
The remaining 17% of the price stems from taxes and fees, Redd said.
“The federal gas tax is at 18 cents per gallon. That’s been unchanged since 1993,” Redd said.
Those funds, she said, go toward highway repairs and the infrastructure projects.
“And then right here in California, drivers are actually paying the highest state gas tax in the nation, which is 61 cents per gallon, which is one reason prices are often higher than the national average,” Redd said.
Can drivers expect any relief at the pump soon?
Redd said that as the summer months approach, drivers should not expect to see prices at the pump drop anytime soon.
“Because again, when it comes to making the summer blend, it just costs more to produce, and unfortunately, that’s when drivers are going to be at the pump paying more for gas,” Redd said.
