The only gas station in Gorda Springs, California, population ~100, is now selling premium gasoline for $8.50 per gallon amid one of the most jarring energy crises in history.
The small town of Gorda boasts a particular affluence that makes its name, which means "Fat" in Spanish, rather apt. It's located along scenic Highway 1, attracting tourists from nearly everywhere. It's known for a few things, including a ban on billboards and banners. It has a hotel, a couple of restaurants where one can watch whales while sipping cocktails, and a lone gas station-a pricey lone gas station.
This week, the world was shocked by news reports that showed images of Gorda's only gas station charging more than $7 for a gallon of regular gasoline and $8.50 for a gallon of premium. It is a driver's only choice for gas for many miles.
But Gorda Springs has long been known for charging high prices for its gasoline-some of the highest in the country.
But elsewhere in California, to the north, gasoline prices have climbed to a level not seen in almost a decade-and not just at a single gas station. The soaring costs are everywhere. Los Angeles/Long Beach prices have risen to $4.54 per gallon for regular gasoline, according to AAA data.
What's more, gasoline prices in Los Angeles saw an increase of $.08 in just a week, a $0.15 rise over the last month, and a staggering $1.36 in a year-marking a 30% increase.
In that time, the minimum wage has increased by less than 10%. For lower-income households that often spend twice as much on gasoline as affluent ones (as much as 9% of their total household income), it is a painful reality.
California has the highest gasoline tax and fees in the nation and accounts for $0.669 of each gallon of gasoline, according to the API. This does not include the 18.4 cents per gallon in federal excise taxes.
By Julianne Geiger for Oilprice.com
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Julianne Geiger is a veteran editor, writer and researcher for Oilprice.com, and a member of the Creative Professionals Networking Group. More
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