By John Ross Ferrara, Rachel Menitoff, Marc Sternfield, KGET
California gubernatorial candidates and other politicians are calling for a temporary suspension of the state’s 88-cent gas tax as fuel prices continue to climb across Southern California. In Los Angeles County, regular fuel is averaging $5.56 per gallon, with some areas seeing increases of more than 50 cents since February, the start of the U.S.-Israel war with Iran.
The proposal to lift the tax, which is the highest in the nation, comes as some analysts project prices could eventually reach $7 per gallon. California gas prices currently sit about $1.50 higher than the national average. This gap is attributed to environmental fees and the state’s requirement for a specialized, cleaner-burning fuel blend.
San Jose Mayor Matt Mahan, a candidate for governor, is among those calling for immediate legislative action to address the costs.
“I’m calling on Sacramento to temporarily suspend California’s gas tax, which is the highest in the nation,” Mahan said. Fox News commentator Steve Hilton, a Republican who is also running for governor, stated his support on social media.
The proposal has an avenue in the state legislature. California State Sen. Tony Strickland (R-Huntington Beach), filed a bill in February to eliminate the gas tax immediately, arguing high prices disproportionately affect working families.
“We don’t have a lot of tools in our shed,” he told KNX News Radio on Tuesday. “(My bill) would save $1.08 per gallon the minute the governor signs it.”
So far, Gov. Gavin Newsom has voiced opposition to the proposal. Newsom stated that removing the tax would likely make oil companies more profitable rather than helping consumers. He also attributed the “sticker shock” at the pump to the Trump administration.
The rising costs have caused frustration for local drivers as prices in some parts of Southern California reach their highest levels since 2023. Lisa Haisha, a Californian consumer, described the current prices as “insane” while fueling her vehicle.
“I just think it’s insane that it’s this high,” Haisha said. “They have to do something because it’s just not right.”
Jamie Court, president of the Consumer Watchdog group, advocates for maintaining the tax because it provides critical funding for California roads. Court, who authored “Five Ways to Lower California Gasoline Prices,” argued that the state government should instead focus on refinery oversight and price gouging.
“The governor and the energy commission have to get some guts,” Court said.
Market analysts point to several factors for the price hike, including rising crude oil costs linked to conflict in Iran and the premature shutdown of several California oil refineries. Court suggested that the state is not currently using its power to regulate these disruptions.
“They have to put these rules on the table to make sure the companies are resupplying when the refineries go down and if they are making too much money in the form of profits, that they take it back in the form of a penalty,” Court said.
