Showing posts with label California Gas Price Relief Coming After Big Spike. Show all posts
Showing posts with label California Gas Price Relief Coming After Big Spike. Show all posts

Monday, October 8, 2012

California Gas Price Relief Coming After Big Spike


There's relief in sight - Governor Jerry Brown ordered the Air Resources Board to allow the early switch to the higher-polluting winter-blend gasoline which is not only easier to refine but enables California to import it from other states to alleviate supply issues and bring down the price that skyrocketed $1 a gallon last week.

As California refineries age, more problems will arise and they are. The State which normally allows only summer-blend gas to be sold until the end of October, will switch to winter-grade gas immediately.


An August 6th refinery fire at Chevron's Richmond facility in Northern California and a power failure at Exxon Mobil's Torrance operation a week ago in Southern California contributed to the shortage and price spike. There's also talk that gas market traders influenced the price hike.


According to AAA:
  • September’s monthly national average of $3.83 was the most expensive ever for the month. The previous record-high average for September was $3.72 a gallon in 2008.
  • Gas prices this September cost 14 cents more on average nationally than in August. The monthly average pump price this August was $3.69 a gallon.
  • Gas prices in 2012 are on track to be the most expensive ever. The average price of gas so far in 2012 is $3.64 a gallon, which compares to the existing annual-average high of $3.51 from 2011.
  • Today's current average price of regular gasoline in California is $4.668 per gallon which compares to South Carolina's $3.486.