SAN DIEGO — It’s official: A gallon of gas costs you $5 on average for the first time in San Diego’s history.
California also reached that dubious milestone Friday, according to data compiled by AAA, which showed a more than 13-cent increase in a single day pushed the statewide average to about $5.07.
It was even pricier in San Diego, which moved to about $5.10 on average after its own increase of around 13 cents.
Both the state and county gas price averages have been on a steady march toward the symbolic $5 average, setting and then surpassing new records for the most expensive average gallon over the past month.
There are multiple reasons why gas prices are so high right now, according to experts, with Russia’s invasion of Ukraine dealing the latest blow to consumers. That financial pain is being felt across the country, with the national average increasing 11 cents since Monday.
“Crude prices continue to surge as the conflict between Ukraine and Russia continues to bring uncertainty to the market. To help counter the impact of rising oil prices, the International Energy Agency (IEA) has coordinated a release of 60 million bbl of crude oil from its 31 member countries’ strategic reserves, including the U.S.,” AAA explained in a Thursday blog post.
“However, the pricing impact from yesterday’s announcement has been limited given that the amount of oil is small in comparison to the amount of oil that flows daily from Russia around the globe.”
Beyond geopolitical strife, experts say the surging prices can be explained in part by a simple case of supply and demand: “An increase in gas demand, alongside a reduction in total supply, is contributing to price increases,” AAA said.
There are other factors that always drive high prices in California: The state has a Cap-and-Trade program that requires big greenhouse gas emitters – like oil and gas refineries – to offset their emissions by purchasing carbon credits. California also requires specific blends of gasoline to minimize pollution, which are more expensive. Those costs are passed on to consumers.
California’s gas tax is second-highest in the nation at 51.1 cents for each gallon. And its relative geographic isolation from oil pipelines makes it less flexible and more costly to get gas to consumers.
During the surge in prices, locals are seeking deals and thinking more strategically about where they fill up. Over the past week, “Costco gas price” and “Gasbuddy” were among the top gasoline-related search terms that San Diego residents typed into Google. Gasbuddy is a website and mobile app that helps residents find deals in their immediate area. Costco is known for its relatively low pump prices, though you have to have a membership to fill up.
According to the app, an Arco on Grand Avenue in Escondido had the cheapest gallon of gas in the San Diego region as of Friday morning at $4.23. The lowest price at a Costco was $4.49 at the Center Drive location in San Marcos.
