In this article, we are going to discuss the 5 states with the most expensive gas in the US. If you want to check out our detailed analysis of the global oil and gas market, the reason why gas is so cheap in the U.S., the recent uptick in gas prices this summer, the transition to biorefineries, and the role of artificial intelligence in the oil and gas industry, head to 15 States With the Most Expensive Gas in the US.
5. Oregon
Price of Gas per Gallon: $4.283
Although Oregon has a much lower gas tax ($0.38 per gallon) than its neighboring Washington – one reason why the state has a harder time funding highway and bridge improvements – it still has high pump prices largely because of the state’s ban on self-serve gas. Stations need employees to pump gas for drivers in the Beaver State and have to charge more at the pump to cover the labor cost. On top of that, 35 cities and counties in Oregon add their own tax.
4. Nevada
Price of Gas per Gallon: $4.495
Although gas prices are still very high in the Silver State, they have fallen by over 12% from a month ago, when the average price in the state stood at $5.115. It is also well below the all-time high of $5.68 recorded in June 2022. One of the key factors contributing to Nevada’s high gas prices is the state’s limited domestic production, with the majority of its supply being imported from neighboring states like Utah and, primarily, California.
3. Washington
Price of Gas per Gallon: $4.619
Washington has one of the highest gas taxes in the country at 49.4 cents per gallon. Those taxes are how the state has funded many recent highway projects.
Washington lawmakers embarked in early 2012 to learn if charging drivers for the miles they travel could eventually replace taxing them on every gallon of fuel they buy. The concern then, and now, is that gas tax receipts are in a slow decline as passenger cars get more fuel efficient and electric vehicles become more prevalent.
2. Hawaii
Price of Gas per Gallon: $4.754
Although Hawaii has no proved crude oil reserves or production, it does refine crude oil into petroleum products. The local Oahu refinery supplies much of Hawaii’s demand for petroleum products, but the state also imports refined petroleum products, including jet fuel, propane, low-sulfur diesel fuel, and motor gasoline, from countries in Asia, the Caribbean, and South America.
Energy prices in Hawaii skyrocketed after Russia’s invasion of Ukraine in 2022, which prompted Russian oil embargoes. Before the war, Russia provided about 25-30% of Hawaii’s oil.
1. California
Price of Gas per Gallon: $5.165
California is the state with the highest gas prices in U.S.A. A major factor behind this is the high local taxes, as taxes can make up about 13% of the price of a gallon of gas, according to the U.S, Energy Information Administration.
Moreover, since 1992, the Golden State has required gas stations to sell a special gasoline blend that reduces smog, and that special blend also adds between 10-15 cents to the gas price. Another contributing factor to California’s high gas prices is the reliance on local production and nearby refineries, some of which were recently shuttered for maintenance.
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