California Energy Prices Among Highest in Nation
California has among the highest energy prices in the United States, according to a new report from the American Legislative Exchange Council (ALEC), a free market membership organization of state legislators. The Energy Affordability Report provides a “snapshot” of state electricity, gasoline, and diesel prices for all 50 states.
California has the third highest electricity prices in the country at 19.65 cents per kilowatt hour. The highest prices are found in Hawaii at 30.31 cents per kilowatt hour and Alaska at 20.02 cents per kilowatt hour. With the geographic separation of these states from the U.S. mainland, California has the highest cost of electricity in the lower 48 states.
Following California are Massachusetts, Rhode Island, Connecticut, and New Hampshire. These five states have Renewable Portfolio Standards and cap-and-trade programs. Additionally, they impose a mandated net metering policies on their utilities. These policies require utility companies to pay consumers who generate electricity from rooftop solar panels for any excess electricity these panels push back onto the electric grid.
California Average Electricity Retail Prices per Kilowatt Hour
Residential: 22.82 cents per kilowatt hour
Commercial: 19.18 cents per kilowatt hour
Industrial: 14.82 cents per kilowatt hour
Transportation: 11.79 cents per kilowatt hour
Total: 19.65 cents per kilowatt hour
A Snapshot of Gasoline Prices
California has the country’s highest gasoline prices at $4.85 per gallon. This is followed by Hawaii at $4.79 per gallon, Washington at $4.32 per gallon, Arizona at $4.31 per gallon, and Nevada at $4.22 per gallon. California has the country’s second highest gas tax and Washington has the third highest. Gas taxes in Hawaii, Arizona, and Nevada are below the national median.
California has the fifth highest annual gasoline cost at $2,427.65. This is based on an average of 12,524 miles driven per year. California has a high concentration of refineries, but the highly regulated fuel standards leads to higher costs for consumers.
California Gasoline Prices
Gasoline: $4.85 per gallon, highest in nation
Annual gasoline cost (including taxes): $2,427.65 (based on average miles driven per year of 12,524), fifth highest in nation
A Snapshot of Diesel Prices
California has the second highest diesel prices at $5.37 per gallon. The average price of diesel in the country was $4.26 per gallon. Hawaii, Washington, Massachusetts, and North Dakota are other states with the highest diesel prices in the nation.