Thursday, November 23, 2017

California diesel tax hike contributes to 6.3 cent per gallon increase.


Tuesday, November 7, 2017
by LYNDON FINNEY/The Trucker Staff

The average price of a gallon of diesel has increased 30.1 cents a gallon since the first week in August. (The Trucker file photo)
The average price of a gallon of diesel has increased 30.1 cents a gallon since the first week in August. (The Trucker file photo)

WASHINGTON — Influenced by an increase in fuel taxes in California, the average on-highway price of a gallon of diesel increased 6.3 cents to $2.882 for the week ending November 6, according to the Energy Information Administration of the Department of Energy.

The price has now gone up 30.1 cents a gallon since the week ending August 7, an increase of over 11 percent.

The price is 41.2 cents higher than the comparable week in 2016.

California posted an increase of 35.6 cents a gallon to $3.541, which contributed to the entire West Coast price increasing 22.1 cents a gallon to $3.332.

On November 1, California instituted an increase of 16 cents a gallon in the tax on diesel from 20 cents a gallon to 36 cents a gallon.

Smaller increases include a 5.5 cent hike in the West Coast minus California, and a 5.1 cent increase in the Midwest.

According to the Energy Information Administration, 42 percent of the cost of diesel was attributed to the cost of crude oil, 22 percent to refining, 16 percent to marketing and distribution, and 19 percent to taxes.

For a complete list of prices by region for the past three weeks, click here.

 

 

 

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