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AA Los Angeles Gas Prices

AA Los Angeles Gas Prices

Los Angeles Gas Prices

Watch as the good people of Los Angeles bite the bullet to pay over $6. 00 a gallon for gas. Does this seem crazy and out of control? Let us know what you think in the comments. More than 100,000 people living in California could go without groceries because of soaring gas prices.

State

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UC Berkeley energy economist Severin Borenstein said oil prices dropped from about $60 a barrel to $30 when the pandemic started but have come back up as the world economy has rebounded. Some California-specific environmental programs, including the cap-and-trade program and low-carbon fuel standards aimed at reducing greenhouse emissions, also add a “small kick” to the state’s prices.

SACRAMENTO COUNTY, Calif. — As Thanksgiving road travel in California is expected to reach a two-year high this year, gas prices in the state haven't stopped going up — with areas like San Diego and Bakersfield seeing close to a $1.50 rise since 2020.

And though the backlog at the ports of Los Angeles and Long Beach is creating a massive headache for consumer goods that could bleed into Christmas, it’s not having much of an effect on gas prices, said Borenstein, as oil and gas entering the state come through specialized ports.

It was the state’s second record-breaking day in a row. Monday’s price for regular unleaded was six-tenths of a cent higher than the Sunday average reported by AAA, which broke the previous state record of $4.671 set in October 2012.

Gas

via GIPHY

The higher gas prices are the result of a sharp increase to oil prices. The price of a barrel of West Texas intermediate crude on the New York Mercantile Exchange has increased 58.65% from one year ago, closing at $76.99 Thursday.

"Each group got burned by the significant drop in oil prices in March and April 2020, cut back in production and have been very careful in how much they produce now. The Omicron variant of the COVID-19 virus may blunt gas prices from rising despite recently higher oil prices.''

Still, experts said most people are not highly reactive to fluctuating gas prices, and many are dead-set on making the most of this year’s season. The Auto Club is projecting that about 3.8 million Southern Californians will drive to their holiday destinations this year — a 9% increase over 2020 and within striking distance of pre-pandemic levels.

And though the backlog at the ports of Los Angeles and Long Beach is creating a massive headache for consumer goods that could bleed into Christmas, it’s not having much of an effect on gas prices, said Borenstein, as oil and gas entering the state come through specialized ports.

Drivers Waiting In Long Lines To Get Less Expensive Gas As Prices Continue To RiseThe long lines of cars waiting for gas at a Costco in Huntington Beach Friday were a sure sign that drivers are willing to wait for the least expensive gas in Orange County.

Last week, President Biden asked the Federal Trade Commission to investigate whether oil and gas companies were engaging in “illegal conduct” that was driving up prices. Some polling data links the president’s low approval ratings to high fuel costs.

 

 

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