California Drivers Brace for Pain at the Pump

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California Gas Prices on the Rise: Brace for a Potential 50-Cent Surge

California drivers, prepare yourselves for a possible 50-cent per gallon increase at the pump. According to a recent report from the California Air Resources Board (CARB), the Golden State’s ambitious push towards reducing greenhouse gas emissions could lead to a significant spike in fuel costs.

Climate Goals vs. Gas Prices

In a bid to achieve carbon neutrality by 2045, Governor Gavin Newsom’s administration has proposed the Low Carbon Fuel Standard (LCFS). If approved, this plan would mandate a shift towards cleaner fuels, resulting in a hefty price tag for consumers. The average Californian could be paying around 50 cents more per gallon of gas by 2025.

California Gov. Gavin Newsom addresses campaign members for Keep the Law (SB 1137)California’s Soaring Gas Prices

The news of a potential gas hike comes at a time when California is already grappling with record-high fuel prices.

  • In 2022, the state’s gas climbed to nearly a gallon, skyrocketing it to the most expensive in the nation.
  • According to AAA, California’s gas prices are roughly 55% higher than the national average, and the state experienced the second highest gas price increase last year.

Economic Impact: A Perfect Storm

This proposed gas hike couldn’t come at a worse time for California’s economy, which is already feeling the heat of rising inflation and a stagnant job market.
 

  1. Meanwhile, the U.S. has added the fewest jobs in six months, and the annual wage growth has fallen below 4.0% for the first time in nearly three years.
  2. In Los Angeles specifically, earning 0,000 a year is now considered low income, making the city increasingly unaffordable.
     

Projected Timeline

If the LCFS is approved, the gas price hike could begin as early as next year, eventually reaching a staggering .15 per gallon increase by 2046.
 

LA News Center will continue to monitor this developing story and provide updates as they become available.