Garcia: California’s High Gas Prices Are a Choice – Not a Necessity


By Mike Garcia

According to AAA, the average price per gallon of gasoline in California has hit $4.66 this week, which is a staggering $1.50 more than the national average. The primary culprit? State policies. A significant portion of this price difference is due to California’s gasoline excise tax, which greatly inflates fuel costs compared to those east of the Colorado River.

As of July 1, 2025, California imposes a state excise tax of 61.2 cents per gallon. This tax is indexed to inflation and automatically increases each July unless legislative action is taken to halt it. Essentially, the state claims more than sixty cents per gallon before gas stations see any revenue.

Such a high tax rate is unusual. In neighboring Arizona, the state excise tax is only 18 cents per gallon. This 43-cent discrepancy explains why many drivers opt to fill up their tanks in places like Lake Havasu or Yuma before entering California. All motorists contribute the federal tax of 18.4 cents per gallon, but California’s hefty extra charge is a local burden.

The central concern isn’t just the high tax but its automatic annual increase. The current law adjusts the excise tax rate each July according to inflation, which led to the rise from 59.6 cents to 61.2 cents this year. Though the term “indexation” may seem technical, the outcome is straightforward: without legislative intervention, Californians face yearly hikes. For those commuting long distances, such as nurses or delivery drivers traveling from the Antelope Valley to downtown Los Angeles, these incremental costs accumulate quickly.

The real issue isn’t just how high the tax is – it’s how it’s designed to keep rising automatically. Under current law, the excise rate adjusts each July based on inflation. That’s why it rose from 59.6 cents to 61.2 cents this year. The term “Indexation” may sound technical, but the result is simple: Without a deliberate vote from the legislature, Californians pay more every year. For a nurse or delivery worker commuting from the Antelope Valley to downtown Los Angeles, those pennies add up fast.

Economists have long warned that per-gallon taxes on essentials are regressive, hitting working families hardest. Recent academic work confirms that gasoline taxes burden lower-income drivers most — long commutes, with high housing costs forcing people to drive further to work just to afford a home. The further you drive, the harder the taxes bite.

Supporters of the current system claim that high taxes are the price of good roads. But even Sacramento’s own budget analysts have noted the imbalance: According to the Legislative Analyst’s Office, every one-cent cut in the gasoline excise tax reduces state revenue by just 0.05% of total state spending — a tiny fraction of the budget. 

And what do Californians get for that money? Not much. The Reason Foundation’s latest report ranks states on 13 measurable categories — from pavement and bridges to congestion and efficiency. The results are telling: North Carolina charges about 40.3 cents per gallon and ranks first in overall highway performance; Tennessee charges about 27.4 cents and ranks fifth — both far ahead of California, which charges 61.2 cents and ranks 49th. 

Clearly, how funds are spent matters more than how much is collected. 


You May Also Like

Patti Smith Says Hi to Chicago-Born Pope Leo XIV at Vatican - Internewscast Journal

Patti Smith Says Hi to Chicago-Born Pope Leo XIV at Vatican

ROME — Patti Smith, the rock poet whose career has long blended…
Court Tosses Alexee Trevizo Bodycam Confession in Newborn Death Case - Internewscast Journal

Court Tosses Alexee Trevizo Bodycam Confession in Newborn Death Case

Prosecutors in New Mexico will not be allowed to use bodycam-recorded statements…
Bryan Kohberger claims family joined plea talks as he seeks to withdraw guilty plea: court docs

Bryan Kohberger Claims Family Joined Plea Talks to Undo Guilty Plea

Judge approves new lawyer for Bryan Kohberger in Idaho murder trial A…
Surveillance Video Captures Missing American Woman Moments Before She Entered Water on Caribbean Vacation - Internewscast Journal

Surveillance Video Captures Missing American Woman Moments Before She Entered Water on Caribbean Vacation

Newly released footage appears to capture the final known movements of a…
Nancy Guthrie Case Update: Crime Scene Hair Sample Failed to Produce DNA Profile, Sheriff Says - Internewscast Journal

Nancy Guthrie Case Update: Crime Scene Hair Sample Failed to Produce DNA Profile, Sheriff Says

TUCSON, Ariz. — A hair sample collected from inside Nancy Guthrie’s home…
Trump Brings Cabinet to Camp David, Historic Retreat Known for High-Stakes Diplomacy - Internewscast Journal

Trump Brings Cabinet to Camp David, Historic Retreat Known for High-Stakes Diplomacy

WASHINGTON — President Donald Trump is moving Friday’s Cabinet meeting out of…
Woman’s Death at Pressley Husband-Owned Boston Home Ruled Homicide - Internewscast Journal

Woman’s Death at Pressley Husband-Owned Boston Home Ruled Homicide

Authorities in Boston say the death of a young woman discovered inside…
Vanishing Stranger’s Warning Saves Family From House Fire - Internewscast Journal

Vanishing Stranger’s Warning Saves Family From House Fire

An unidentified good Samaritan is being credited with saving a Las Vegas…
F-35 Crashes at MCAS Miramar; Pilot Ejects as Fire Starts - Internewscast Journal

F-35 Crashes at MCAS Miramar; Pilot Ejects as Fire Starts

A Marine Corps F-35 assigned to the 3rd Marine Aircraft Wing went…
Parents Who Refuse to Pay Child Support May Lose SNAP Benefits Under Reinstated Trump Rule - Internewscast Journal

Parents Who Refuse to Pay Child Support May Lose SNAP Benefits Under Reinstated Trump Rule

WASHINGTON — Millions of parents who are behind on child support payments…
Two Men and Their Dogs Involved in Brawl at San Diego’s Mission Beach - Internewscast Journal

Two Men and Their Dogs Involved in Brawl at San Diego’s Mission Beach

Fists flew — and then the paws got involved. A chaotic confrontation…
Cambria’s Votes-for-Sale Mayor Race Returns With a Twist - Internewscast Journal

Cambria’s Votes-for-Sale Mayor Race Returns With a Twist

Ever wondered what it would cost to buy a mayor? In one…