When's the last time California started a year with gas prices this high?
California and the rest of the nation are starting 2018 with the highest gasoline prices to begin a new year since 2014, both AAA and GasBuddy have reported.
The average price for a gallon of regular unleaded in Modesto on Thursday morning was $2.92, compared to $2.60 a year ago, according to www.modestogasprices.com, which is part of GasBuddy.
The city is well above the national average price, which was $2.50 Thursday and $2.36 this day last year. But we're well below the state average, which was $3.12 on Thursday.
In the greater Modesto area Thursday morning, the lowest price was $2.53, offered at Costco in Turlock and the Arco station at 3936 Mitchell Road in Ceres. Modesto's lowest price was $2.55 at Costco.
Costco warehouse stores sell their gas only to members. Modesto's next-lowest price, available to the general public, was $2.59, at Arco stations on West Orangeburg Avenue, Yosemite Boulevard, Crows Landing Road and North Carpenter Road.
The highest Modesto price listed on modestogasprices.com Thursday morning was $3.39 at the Chevron station at Crows Landing and West Grayson roads.
Of two men asked while they were gassing up at the Chevron station on the 1100 block of Oakdale Road, one took the high prices in stride, while the other was "pissed off."
John McDonald said he's a faithful Chevron station customer, even though it's among the highest priced. He buys there because the pumps consistently are working well — never any spills — and they're quick. Other stations' pumps often take too long to fill his tank, he said.
Duane Self said he, too usually pumps his gas at Chevron stations but said pump prices in general are "ridiculous." He said he's fed up with gas taxes and sales taxes that are supposed to go to improving roads.
"I'm 79 years old and I've been hearing that all my life. I've yet to see a tax increase on gas go into the road system," he said. "I wouldn't mind if I could see something in the streets, but you don't. ... If I could hit one less pothole to justify the expense, but politicians lie."
In California, prices at the pump went up 12 cents per gallon in November as a result of the 10-year, $52 billion transportation package approved by the Legislature. A Sacramento Bee report said prices are set to increase again in January 2020 based on inflation, according to state officials. The extra transportation funding is intended to address deferred maintenance for roads, bridges and other infrastructure, as well as support public transportation projects across the state.
In November 2016, the Measure L half-cent sales tax passed in Stanislaus County with 71 percent approval. The tax is expected to raise about $960 million over 25 years, or $38 million a year. A spending plan tells how proceeds will be used: half on local streets, 10 percent on signals and intersections, 5 percent for bicycle and pedestrian projects, and 7 percent on buses, trains and senior and disability travel. The remaining 28 percent is earmarked for regional projects, including the Highway 132 bypass west of Modesto, and future North and South County corridors.
Though Golden State prices are high, AAA said in a news release, they are expected to fall in coming weeks as travel demand subsides after a busy holiday travel season.
"Last year was a historic travel season, with AAA forecasting record travel numbers for nearly every holiday," Michael Blasky, a spokesman for AAA Northern California, said in the release. "But prices historically will drop after the ball drops on New Year's Eve. Californians today are paying about 60 cents more than the national average, which AAA attributes to the state's strong economy, higher taxes on gasoline and stricter environmental regulations."
The last time Californians began a year paying more than $3 for gas was in 2014, when the average price in January was $3.62, AAA reported. Gas prices rose above $4 that summer.
But January doesn't always indicate how prices will move throughout a year, AAA noted. California drivers paid $2.55 for regular unleaded gas to begin 2015, but by May were paying above $3.70 per gallon.
GasBuddy on Wednesday released its 2018 Fuel Price Outlook. It says the yearly national average will rise 19 cents vs. last year, to $2.57 per gallon of unleaded regular gas.
This story was originally published January 4, 2018 at 11:47 AM with the headline "When's the last time California started a year with gas prices this high?."