I think its fair to say that the cost difference in gasoline between NC, MD, IL and CA is the amount of tax we pay on a gallon, not in the cost to get it out of the ground, refine it and get it to the station. The latter would likely only apply to the forum member hailing from HI (and that does cost a lot there).

 

State fuel taxes range from 26c in Alaska up to 70c in NY. That doesn’t explain the entirety of the price differential. The cost of refining in CA is higher due more restrictive pollution regulation. Location also affects pricing based on access (or lack of access) to marine terminals or pipelines.

 

I'm fairly confident there are extra costs in CA. We have to have our own, special gas. The tax is about $1.00 a gallon total and I'm seeing it close to $2.00 total less in other places. There's something fishy going on.

 

State taxes usually only make up a portion of the overall tax that's assessed on a gallon of gas. For instance, here in Illinois gasoline is taxed by the county and the cities as well. Heck, buy a gallon of gas in the City of Chicago and you pay about what our friends in California are reporting. It doesn't cost any more to get the crude out of the ground, refine it or distribute it to the adjacent Lake County (next to Cook County and Chicago) but you pay about $1.50 less for the gas there and would pay even less in the adjacent Lake County Indiana where all the taxes are less. I travel a lot in Indiana on business and usually stop in Lake County before getting back into Illinois and fill up with gas. For premium there I am paying about what you describe in MD, about $2.89 for premium.

 

You could, of course, hedge RBOB; Gasoline Futures. 42,000 Gallons per contract.

Group Buy?

 

If someone in the Chicago area owns a bulk storage terminal I'm in on the group buy.

 

Yes something smells rotten in CA and its just not the Salton Sea.
Quick check shows the state with the highest gas tax is PA at .77 a gallon, average price of gas 2.70. CA gas tax .66 a gallon. average price of gas 4.10. Things that make you go Hmmmm.

 

Coincidentally there is an article I noticed on the Daily Caller today (a feature named Daily Signal) that discusses CA fuel prices for anyone interested. I didn't read it as I don't have a dog in that fight, but thought I'd pass this along for those who do.

 

Only 2,528 more F-Type Forum members and we’re golden! Ready to put the hedge on...all I have to do is hit this little button....