After problems at three California refineries spooked the state’s oil market, gas prices have jumped as much as 20-cents a gallon — and they could go up another dime or more in the coming days.
California drivers are paying the most for a fillup this year at $3.25 a gallon on average.
Gasbuddy.com reported that a “flaring” problem at the Chevron refinery in Richmond and maintenance issues at the Tesoro plant in Martinez could reduce supplies and send wholesale prices soaring. Production at the ExxonMobil refinery in Torrance also remains down following a Feb. 18 explosion. The refinery is not scheduled to complete repairs of damaged equipment until July according to AAA.
State motorists also are hitting the road more, pushing up demand as the summer traveling season approaches.
“Prepare for fuel price increases that will likely send prices higher in the next few days,” said Gasbuddy.com analyst Patrick DeHaan, “And things will get worse.”
But the West Coast isn’t alone. Prices have jumped 8 cents a gallon nationally in the last week and risen more in the Great Lakes area and on the East Coast.
And while the recent surge is far below the $4.23 average of a year ago, it has local motorists who just days ago could easily find gas for as low as $2.80 a gallon grumbling.
Errol Emrich of San Jose did a double take when he drove past the Shell and 76 stations near where he lives at McKee Road and Capitol Avenue where he says a gallon of fuel has gone from $3.15 a few days ago a gallon to $3.35 on Friday morning.
“Same with the Shell,” he said. “It was at $2.99 a week ago and its now $3.34.”
And by Friday evening the Chevron station was at $3.60 and the Shell station at $3.50.
“That’s another 20 cents in a day and 50 cents within the last week,” Emrich said. “What BS reasons are the oil companies going to give now?”
Fighting in the Middle East isn’t helping, either. Bloomberg News reported the escalation of the civil war in Yemen, a country near major oil fields and key shipping routes, poses worries about the flow of oil tankers through the Bab el-Mandeb strait, the world’s fourth-busiest oil trading chokepoint.
“The Saudi strikes are adding fuel to the fire for oil prices,” said Amrita Sen, chief oil analyst at consultant Energy Aspects Ltd.
That is reflected in crude oil prices, which are the highest levels of 2015. But as usual, nationally gas is much lower than here — $2.51 a gallon. Normally, California’s average is 20 cents to 30 cents higher.
Now it’s 74 cents more.
“It’s been a lousy week for motorists,” said DeHaan.
Gas prices climb
A gallon of regular unleaded gasoline ranged from $3.05 to $3.55 on Saturday in Santa Cruz according to gasbuddy.com. The price range in Watsonville on Saturday ranged from $2.97 to $3.49.
