Which states have the most expensive gas in August 2023?
Slowdowns in oil production in important states means prices are set to keep creeping higher for the next month.
Fuel prices are steadily rising in the US. Usual lower summer demand coupled with the global price of oil falling had kept prices decreasing since the highs of February 2022. However, the beginning of hurricane season and slowing production in key oil mining states are changing this.
“The heat is returning, and we are also entering the heart of hurricane season,” said Andrew Gross, American Automobile Association spokesperson. “While fewer drivers are fueling up at the moment, these looming weather concerns are a roadblock to falling pump prices.”
Gas Prices in the US rise to their highest levels of the year @ $3.98/gallon. What was a big tailwind for CPI in May/June (negative YoY commodity prices) was less of a tailwind in July and much less thus far in August. US inflation rate will likely increase again in August. pic.twitter.com/PziSY8Us4b
— Charlie Bilello (@charliebilello) August 24, 2023
This has been reflected in the data. Although the current national average of $3.83 is very similar to this time last year, it is 24 cents more compared to last month. Prices remain significantly higher than they were in 2019 and 2020.
While this is the federal average, prices are fluctuating wildly on a state-by-state basis. California has the most expensive fuel prices by some margin, and only it and neighbouring Washington state have prices per gallon over $5.
Top 10 most expensive fuel markets
- California: $5.26
- Washington: $5.06
- Hawaii: $4.78
- Oregon: $4.72
- Alaska: $4.55
- Nevada: $4.47
- Utah: $4.22
- Arizona: $4.25
- Idaho: $4.12
- Illinois: $4.11
The AAA believes prices will peak in the next month.
“Gas Prices may keep waffling until mid-September or longer,” said Gross.