California’s gas price gap is not a mystery. It is a policy outcome. And yet, too many elected officials speak about it as if it were driven solely by global events they cannot control.
On March 30, 2026, the national average for gasoline was $3.99 per gallon, while in California it reached $5.87. That nearly two-dollar difference isn’t explained by global oil markets. Yes, geopolitical events like tensions in Iran can raise prices overall, but those factors impact the entire country. They don’t account for why California drivers consistently pay significantly more than people elsewhere.
The difference is political. California elected officials spent decades attacking this industry while layering policies that have limited supply, shut down in-state refining capacity, and made our state dependent on foreign imports.
California used to have over 40 refineries. Now, only 7 remain, with more closures expected. Oil pipelines have stopped transporting oil. Domestic production has fallen to just 20%, while imports make up 80%. These decisions affect supply and drive up costs.
At the same time, demand has not disappeared. California still consumes roughly 1.8 million barrels of oil daily. Even with aggressive energy transition plans, hundreds of thousands of barrels will still be needed each day to support transportation, manufacturing, healthcare, and thousands of essential products.
When you cut back on local production and refining but keep demand steady, the outcomes are clear. You end up importing more oil, which often travels longer distances from countries with little to no environmental and labor standards. It arrives by tanker, is processed elsewhere, and then shipped back. Each step costs money, and each mile adds more emissions. California consumers ultimately pay for all of it.
This is the main issue: California isn’t just exposed to global volatility; it has made itself more susceptible to it.
Public officials seeking higher office or already in power have a duty to understand this system. Blaming oil companies or foreign conflicts without recognizing state-driven constraints is misleading and politically irresponsible.
If the goal is affordability, reliability, and environmental accountability, the answer is straightforward: stabilize in-state production, preserve refining capacity, maintain infrastructure, and eliminate unnecessary barriers that lead to dependence on imports.
Until that happens, Californians will continue to pay a premium for decisions made in Sacramento, not just events unfolding overseas.
Hector Barajas is a public affairs and strategic communications professional and the founder of Amplify360, Inc. His work places him at the forefront of high-level policy discussions involving lawmakers, political candidates, regulators, and industry leaders. These articles aim to illuminate information, context, and implications that are often discussed privately and frequently left out of the public debate.
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