Gas Prices Blame Game Intensifies in California
Prominent oil industry groups are taking aim at Governor Gavin Newsom, attributing the sharp rise in gasoline prices to the Trump administration’s conflicts with Iran. They argue this is a primary factor behind the escalating costs.
Newsom’s vocal team on social media pointed fingers at the former president, claiming that “Americans’ gas prices will go up by $10 billion.” Of course, this claim attracted applause from his loyal supporters.
In response, the American Oil and Gas Association didn’t hold back on its criticism. They slammed Newsom and his supporters, referring to them disparagingly as “Dollar Tree Pee-wee and his Playhouse cronies.”
According to the association, Californians have collectively spent an extra $24 billion to $30 billion on gas since January 2025 compared to the national average. They detailed the issue further, stating, “Average insurance premiums range from $1.30 to $2.00 per gallon due to taxes, registration fees, and supply issues—amounting to $600 to $900, and this is just in 15 months.”
This week, one gas station in the coastal town of Big Sur was reportedly charging almost $10 per gallon for regular gas. Some tourists commented that they could have charged even more during the busy spring break season.
As of Saturday, the average price for a gallon of regular gasoline in California rose to $5.915, significantly surpassing the national average of $4.104, per estimates from the American Automobile Association.
The concept of a “California premium” plays a role here, resulting from the state’s higher excise and sales taxes, along with fees related to climate initiatives. Moreover, California requires environmentally friendly, pricier fuel blends designed to mitigate pollution.
“There are six different taxes and fees per gallon,” Tim Stewart, the president of the American Oil and Gas Association, mentioned previously. “In contrast, the federal tax is only 18 cents.” This points to a stark reality: Californian taxes and fees are about ten times higher than their federal counterpart.
Last month, Chevron issued a stark warning to Governor Newsom, suggesting that his “misguided” climate policies could lead California towards economic decline. Lawmakers are sounding the alarm as well, cautioning that Newsom’s environmental goals could push gasoline prices above $8 a gallon, thrusting residents back into a situation akin to fuel rationing from the 1970s.
The increases in gas costs are primarily linked to the Iran conflict’s effects on global oil prices, yet the state’s climate policies and elevated taxes are also significant contributors.
Inquiry has been made regarding whether external parties might need to oversee “California’s refineries and regulations to find solutions for the economic challenges the state faces.”
On the campaign trail, Republican candidate Steve Hilton has suggested that California could offer immediate relief to drivers by lowering fuel taxes, similar to actions taken by Australia, where the government recently decided to halve fuel excise duties for a brief period. He pointed out that this could save drivers around $13 on a standard 17-gallon tank.
Hilton criticized Newsom’s handling of the situation, suggesting that the governor is overlooking the economic strain on working families.
The California Post has reached out to ask Newsom’s office for their perspective on these claims.
