Gasoline price gouging in California draws a warning
Los Angeles Times • • business
Key Points:
- California’s petroleum market watchdog is investigating gas stations charging excessively high prices, with some stations reaching over $7 to $9.69 per gallon amid soaring oil prices due to the Iran war.
- The average gas price in California is $5.66, significantly higher than the national average, exacerbated by state taxes, environmental fees, and an isolated petroleum market reliant on in-state refineries.
- The watchdog agency noted that these extreme prices are not justified by current crude oil or gasoline futures prices and is monitoring for unfair practices and potential market manipulation.
- Price gouging concerns have increased as refinery outages and limited supply have driven up margins, with advocacy groups citing refinery profits rising from 49 cents to $1.25 per gallon
