San Francisco becomes first city to reach an average gas price of $5 per gallon 

As March is just getting started, San Francisco became the first major United States city to reach an average gas price of $5 per gallon according to the leading fuel savings platform GasBuddy.

Prices have been on the increase in the area and steadily across the U.S. since October 2021, but San Francisco hit a new high that month when the price of gas reached $4.73 per gallon.

Most of the states and cities around the U.S. have seen price hikes lately, with the national average sitting at $3.70 per gallon, but the conflict between Russia and Ukraine has exacerbated the pricing as it put pressure on oil markets throughout the globe.

The state of California normally feels extra pressure at the pump when overall prices increase as the state taxes gasoline at 51.1 cents per gallon. That per gallon tax is the highest of any state in the country.

Seasonal imbalances in demand of gasoline also mean there is added possibility to contribute to the record-breaking prices in san Francisco, as with the majority of the country. With the weather warming and more drivers hitting the road again, which puts additional strain on the gas supply, drivers in the Bay Area could see prices over $5 per gallon in the spring, depending on developments in Ukraine.

“San Francisco just made history as the first ever U.S. city to reach an average of $5 gas,” stated Patrick De Haan, who serves as the head of petroleum analysis for GasBuddy.

“And unfortunately, this record is likely just the beginning of a larger trend of price spikes to come to California and the entire country. While Bay Area prices might be leading the way for now, there’s a possibility here for the entire state of California to follow suit, with gas prices potentially rising over the $5 mark this spring.” 




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