California produces 60% of it's own oil. why do they have the highest gas prices in the Nation.?

Question

California produces 60% of it's own oil. why do they have the highest gas prices in the Nation.?

Answer 1

world market prices....lay off Bc Canada 's water please and pay us what you owe us!

Answer 2

US top trade groups already demand an end to oil speculation, but Congress do not act and Media do not report

"Leading energy experts across the country agree that recent, unprecedented jumps in crude oil prices are due, in large measure, to rampant speculation in the energy commodities markets.”

“19 of the nation’s top trade associations, consumer groups and labor organizations, the coalition urges “immediate reform in the widely-speculative energy commodity futures markets.”

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Answer 3

a few years ago, California did something strange to their whole energy system - maybe deregulating it?????

and, frankly, it all went straight to h**l.

Answer 4

Because they/we add things to their gasoline to make it "burn cleaner".  For awhile we were using MTBE, until it polluted our ground water.  (never mind the fact that the stuff didn't work as it should have.)

I'm not sure what we are adding now.  Any gas brought into the state commercially needs to be "reformulated" to CA standards, and that adds cost.

Edit: Dsanim, two things.  First, there is some debate as to how responsible the futures market is for driving up prices.  I've seen some estimates as low as 20%, and others as high as 80%.  It DOES have an impact, but the weakening US dollar probably plays a much bigger part.  

Second, what you mentioned effects the price of a barrel of oil, which effects everyone.  The question wasn't "why is the price of gas going up?", the question was "why is the price of gas so much higher in CA?"