California drivers are facing steep rises at the pumps, with the average price of regular gasoline reaching $5.29 (£3.94) per gallon as of 11 March 2026. This marks a 62-pence jump from last week and an 80-pence increase over the past month, driven chiefly by the Iran war's disruption to global oil supplies.
Coupled with ongoing refinery issues in the state, these factors have pushed California gas prices well above the national average of $3.54 (£2.64). Experts anticipate no quick relief without a swift end to the conflict.
The war with Iran has sent crude oil prices soaring, with Brent briefly touching $119 (£88.79) before settling around$90 (£67) per barrel. Hostilities have stalled tanker traffic through the Strait of Hormuz, a chokepoint for about20% of global oiland a fifth of liquefied natural gas shipments. Saudi Aramco's chief executive has warned of 'catastrophic consequences' if disruptions continue.
US officials have issued threats over further interference with oil flows. This volatility directly affects California, which imports much of its crude from affected regions like Kuwait and Venezuela. Severin Borenstein, a UC Berkeley professor, explained: 'Whether Californiagets its oil from the Central Valley or Kuwait or Venezuela or other parts of the world, it doesn't matter. It still affects the price of gasoline the same because the price of all those oils goes up.' The conflict's escalation, including strikes on Iranian oil depots, has amplified fears of tit-for-tat attacks on energy infrastructure.
California's high prices are worsened by its unique challenges, including a sharp drop in refining capacity. The state has lost several facilities in recent years, with Valero set to idle its Benicia refinery in April, cutting output by145,000 barrels daily.Phillips 66shuttered its Los Angeles-area site late last year, and others like Valero Benicia Refinery have faced explosions and maintenance halts.
These closures stem from strict environmental regulations and high operational costs, forcing greater reliance on imports. The shift to summer-blend fuel, required from April, adds further upward pressure amid already tight supplies.
Taxes and fees contribute over$1.28 (£0.95) per gallon, far exceeding national levels. As Senator Suzette Valladares remarkedon X: 'Iran didn't close California refineries. Our Governor's policies did'.
Iran didn’t close California refineries.Our Governor’s policies did.Average price for a regular gallon of gas today:California: $5.29National: $3.54
This leaves the state vulnerable to shortages if remaining plants encounter outages.
Analysts foresee sustained high prices if the war drags on. Borenstein noted: 'There's a concernthat this could turn into tit-for-tat attacks on oil resources, which could drive prices much higher, if that happened.'GasBuddy's Patrick De Haanhas described the recent surge as one of the fastest in years following oil spikes and Strait of Hormuz disruptions, though he indicated that retreating crude prices could lessen the odds of national averages hitting $4.00 (£3.00) soon.
Source: International Business Times UK
