18 Cities With Gas Prices Over $5
America is worried about $5 gas. The average U.S. household spends $2,500 a year on gasoline, according to the EIA — a figure based on prices around $3 per gallon. At $5, that number rises by nearly $1,000 annually. To put that in context, the median U.S. household income is $83,000 before taxes and about $70,000 after. The sting is made sharper by how quickly prices have moved: in parts of the country, gas was headed well below $3 just two weeks ago.
GasBuddy captured the shift as of two days ago: “The national average is up 80.0 cents from a month ago and is 66.1 cents per gallon higher than a year ago.”
This is not the first time America has faced $5 gas. When Russia invaded Ukraine in early 2022, crude oil surged above $100 a barrel, and by June the national average for a gallon of regular reached $5. That same month, CPI inflation hit 9.1% — the highest in decades — with energy prices driving much of the increase. Sustained inflation erodes household discretionary income and can tip an economy into recession relatively quickly.
The concern today is similar: a prolonged period of crude above $100 could push the U.S. toward an economic slowdown. February’s employment report suggests the economy is already on unsteady footing. The Bureau of Labor Statistics reported that total nonfarm payroll employment fell by 92,000 in February, while the unemployment rate held at 4.4%. It is worth noting that the inflation alarm of 2022 prompted the Federal Reserve to begin a series of rate hikes — not cuts — that stretched over three years.
America may be on the cusp of another downturn if energy prices climb sharply and stay there. When it comes to gas prices, the U.S. is effectively several countries in one. As recently as two weeks ago, prices had dipped close to $2.50 in southern states near the Gulf Coast refineries south of Houston.
State taxes are another major factor in price differences. The national average gas tax is about $0.50 per gallon. Mississippi’s is $0.214 and Oklahoma’s is $0.200, according to the Tax Foundation. At the other end of the spectrum sits California, where the tax alone is $0.709 per gallon.
California has the highest gas prices in the country by a wide margin — $5.52 as of this writing. At the opposite end, Kansas and Oklahoma sit around $3.20.
Several factors drive California’s elevated prices. The state tax is one. Environmental regulations add cost as well. And, as the EIA notes, California mandates a special fuel blend designed to reduce pollution and improve air quality — one that burns cleaner but requires more processing steps and expensive blending components to produce.
With one exception, every city currently averaging over $5 per gallon is in California. That exception is Seattle, which reflects Washington State’s own elevated price environment.
The highest prices in California are concentrated around its two major metro areas — Los Angeles and San Francisco. San Francisco is already at $5.80 and climbing. At the current rate of increase, it could reach $6 by next week. The rest of the country may not be far behind.
| City | Price Per Gallon |
|---|---|
| Santa Barbara | $5.187 |
| Stockton | $5.245 |
| Bakersfield | $5.286 |
| Chico | $5.290 |
| Modesto | $5.311 |
| Sacramento | $5.335 |
| Fresno | $5.369 |
| San Bernardino | $5.440 |
| Riverside | $5.457 |
| San Jose | $5.478 |
| Oakland | $5.525 |
| Salinas | $5.529 |
| Ventura | $5.535 |
| Orange County | $5.550 |
| San Diego | $5.555 |
| Los Angeles | $5.583 |
| San Francisco | $5.662 |
| Seattle | $5.802 |
Sources: GasBuddy; Tax Foundation
