CA Town Charges $7+ Per Gallon Of Gas, Highest In The State

GORDA, CA — Anyone who's driven the length of an iconic stretch of Highway 1 through Big Sur has likely passed by the small community of Gorda. The area is undoubtably a feast for the eyes, but lately, a less welcoming sight has been raising eyebrows for passersby: Gorda's $7.59 per gallon gas price — and that's just for regular fuel.

For mid grade, the AmeriCo Gas station on Cabrillo Highway charges $7.99 and $8.49 for premium, according to GasBuddy.

Gas prices have spiked in the Golden State in recent months, with the average gas price settling at $4.54 per gallon — about $1.15 higher than the U.S. average, according to the American Automobile Association.

While Gorda's prices are sure to raise hairs, the remote gas station is known for its shockingly high prices. A nearby sign even warns: "Next gas 40 miles north, 12 miles south," Yahoo Finance reported.

The country's average gas price rose by 2.9 cents from early October, according to GasBuddy. Experts suggest that a strong oil demand, low supply and a rising cost of oil is to blame for the skyrocketing price at the pump.

"What's been increasing prices is the imbalance in the market," said Patrick De Haan, the Head of Petroleum Analysis at GasBuddy, according to SF Gate. "Supply is still 10-15 percent below pre-Covid levels, while demand is back to pre-Covid levels and at some points this summer hit all-time high levels."

This year, the Western states — California, Oregon and Washington — have seen a rise in oil demand due to the pandemic, but were also some refinery issues that have rocked the balance of supply months ago, De Haan previously told SF Gate.