A 1.6 cent per gallon excise tax increase and stricter low carbon fuel standards will impact fuel costs across the state.
SAN DIEGO — Gas prices in California are expected to increase starting July 1 as two state policies go into effect. A 1.6-cent per gallon excise tax increase and stricter low-carbon fuel standards will impact fuel costs across the state.
The gas tax will rise from 59 cents to about 61 cents per gallon to keep pace with inflation. Additionally, new low-carbon fuel standards will be implemented, though the exact impact on prices remains uncertain.
“Sometimes, I’m not gonna lie, I don’t even look at the prices. I’ve got to put gas in regardless. I have to get to work regardless, I have to make a living regardless, but you will see it eventually,” said one driver.
Another driver expressed concern about the long-term effects, stating, “That gas tax is going to push me out of the state.”
While the precise increase is unknown, estimates range from under 10 cents to 65 cents or more per gallon. Governor Gavin Newsom’s office has released a fact-check sheet claiming that gas prices will likely only increase by 5 to 8 cents, accusing Republican lawmakers of spreading misinformation.
However, State Senate Minority Leader Brian Jones, who initiated an online petition to lower gas prices, disagrees with the governor’s assessment.
“I think it’s very offensive for CA motorists who are buying gasoline every day to get to work, for this governor to keep trying to split hairs on how much it is going to be. The bottom line is, it is going to be more,” said Jones.
Jones predicts that gas prices could reach $8 per gallon by 2026, citing factors such as escalating tensions in the Middle East and the closure of two refineries.
A survey of gas stations in San Diego on June 30 found prices ranging from $3.99 per gallon at Costco to $5.39 at a Mobil station in Mission Valley. Other stations surveyed included a 7-Eleven in Kearny Mesa at $4.69, Shell and Chevron stations at $4.79, and a Pacific Beach station at $4.25.
As California drivers brace for the impact of these new policies, many remain concerned about the long-term affordability of fuel in the state.
