Economy

Gas Prices in San Diego Continue to Increase, Highest Since 2012

Gas prices in San Diego County continue to soar, as the average price of gas is now at its highest level since October 2012 when gas was $4.725.  The current average price is $4.384 and the price has increased by sixth-tenths of a cent the last two days according to AAA.  The average price of gas has risen $1.157 since the beginning of 2021. 

There are plenty of factors that are attributed to the increase. One is that the price of a barrel of crude oil has increased to around $77 along with the increase in demand for gasoline as the COVID-19 pandemic shrinks and people begin to travel more. But the biggest factor that many overlook is the gas tax that was passed back in 2018 which is rearing its ugly head. Since  the implementation of the gas tax prices around California have increased dramatically, even after most states saw gas prices stay at low levels. The average retail gas price in October 2017 was $3.137, around a year before the gas tax would be voted on. With the exception of a few seasonal dips and the COVID pandemic which saw gas prices below three dollars between the months of March to June 2020, gas prices in the state have been increasing monthly. 

The monthly increase in gas prices is just scratching the surface of the problems in San Diego. Prices rose 2.8 cents from last week, 3.1 cents from a month ago, and $1.197 from one year ago. 

Gas prices continue to be a major talking point in the state, and the rise in prices can have similar effects on other commodities such as groceries, as it becomes more expensive to transfer goods from place to place.

Photo Cred: KUSI