Web Version [link removed] | Update Preferences [link removed] [link removed] California Energy Price Data for

May 2026

Below are the monthly updates from the most current June 2026 fuel price data (GasBuddy.com) and April 2026 electricity and natural gas price data (US Energy Information Administration). To view additional data and analysis related to the California economy visit our website at www.centerforjobs.org/ca.

Regular gasoline fell 8.0% in the June average compared to an 11.1% drop in the rest of the US, while diesel fell 7.7% compared to 9.6% elsewhere. Prices have since continued to drop further as global oil supply conditions have eased, but remain above the pre-Iran levels.

California crude imports (including unfinished oils) generally have been lower in 2026, both as the result of the Gulf actions and due to declining refinery capacity in the state. These flows have largely been replaced by a growing dependence on imported product, primarily in 2026 to date from the EU, Canada, and Asia. Note that the graph covers imports from other countries and does not include Alaska.

Inflation 3.6% Increase since April 2025

For the 12 months ending April, the California CPI rose 3.6%, up from 3.3% for the year ending in March. In the same period, the US CPI went to 3.8% in April from 3.3% in March. Using the same Department of Finance weighting formula, Food at Home (groceries) rose 3.9% in California compared to 2.9% for the US. Food Away from Home (restaurants and takeout) rose 2.5% compared to the US at 3.6%.

California vs. Rest of US Fuel Price Gap at 45.9% Premium $1.77 Price Per Gallon Above Other States (CA Average)

The June average price per gallon of regular gasoline in California eased 49 cents from May to $5.62. The California regulatory and tax premium above the average for the US other than California ($3.85) was only a penny lower at $1.77, a 45.9% difference.

1st Ranked by Price

In June, California had the highest gasoline price among the contiguous states and DC. Californians paid $2.32 a gallon more than consumers in Indiana, the state with the lowest price.

California Gasoline Taxes & Fees $1.57 Total Taxes & Fees per Gallon of Gasoline

While the Energy Commission is once again producing data on gasoline taxes and fees, we have been doing our own estimates using the Commission factors and the new OPIS data. The Commission data now covers most of the tax and fee factors previously included in their estimates but no longer includes the price premium for producing California-compliant fuels. As with the previous series, the Commission also does not include the static carbon emission price due to Cap and Trade requirements on refineries. The Commission explains this aspect by stating they assume those costs are covered by the number of free credits allocated to the refineries. Our analysis still includes this component due to: (1) the cost coverage is based on assumption rather than analysis; (2) while it may make sense in some universe to impose a regulation and then cover it if only for the pleasure of the resulting paperwork and monitoring costs, this rule is still a cost as reflected in the transaction costs and eventual ratcheting down of the available credits as embodied in the full rule.

In June under our estimates, $1.57 (27.9%) of the price of a gallon of regular gasoline was paid to cover state, local, and federal taxes and fees.

California Carbon Taxes: LCFS and Cap & Trade

In June, total LCFS charges incorporated in the price Californians pay for fuel rose 1 cent for gasoline and 3 cents for diesel, while the Cap & Trade component rose 3 cents for both fuels. The costs shown in the table are for the penultimate month-to-date numbers from the OPIS Carbon Market Report, adjusted to incorporate state and local sales tax to account for the full additional costs imposed by these regulatory fees on fuel buyers. Certain Data or Information Provided By: Oil Price Information Service, LLC. Distribution of OPIS data without permission from OPIS is prohibited.

Combining the OPIS data (without the sales tax component) with the previous Energy Commission estimates, Cap & Trade costs are now showing a gradual rise as activity on the program’s extension has increased, while LCFS costs had been easing before June 2025 but sharply reversed course under the new regulations. Note that both charts include both the Cap & Trade components charged at the rack and levied on production from the OPIS data, and only the rack component in the Energy Commission data.

The pace of the rise in the LCFS component remains moderated by the large amount of banked credits. On a 4-week moving average basis, credit prices have risen 23.5% since the beginning of the year. The most current banked credit report from CABR shows 2025:Q4 with the second decline in a row. As this buffer is reduced further, credit prices and the costs to employers and households are likely to move higher.

California vs. Rest of US Diesel Price $1.89 Price Per Gallon Above Other States (CA Average)

The June average price per gallon of diesel in California eased 58 cents from May to $6.81. The California regulatory and tax premium above the average for the US other than California ($4.92) eased to $1.89, a 38.4% difference.

1st Ranked by Price

In June, California had the highest diesel price among the contiguous states and DC.

Range Between Highest and Lowest Prices by Region $2.06 Price per Gallon Above Other States

(Central Sierra Region)

The cost premium above the US (other than California) average price for regular gasoline ranged from $1.62 in the Inland Empire Region (average June price of $5.47), to $2.06 in Central Sierra Region (average June price of $5.91).

Highest/Lowest Fuel Prices by Legislative District: California Residential Electricity Price 95.0% Above Average for

Rest of US

California average Residential Price for the 12 months ended April 2026 was 32.89 cents/kWh, 95.0% higher than the US average of 16.87 cents/kWh for all states other than California. California's residential prices were the highest among the contiguous states and DC.

California Residential Electric Bill 18th Ranked by Cost

For the 12 months ended April 2026, the average annual Residential electricity bill in California was $1,920, or 93.2% higher ($926) than the comparable bill in 2010 (the year the AB 32 implementation began with the Early Action items). In this same period, the average US (less CA) electricity bill for all the other states grew only 35.4% ($483).

In 2010, California had the 9th lowest residential electricity bill among the contiguous states and DC. In the latest data, it had the 18th highest.

Residential bills, however, vary widely by region. Transforming the 2024 data recently released by the Energy Commission, estimated annual household usage is as much as 80% higher in the interior regions compared to the milder climate coastal areas, and substantially higher when comparing across counties.

13.3b Above Average for Rest of US

For the 12 months ended April 2026, California's higher electricity prices translated into Residential ratepayers paying $13.3 billion more than the average ratepayers elsewhere in the US using the same amount of energy. Compared to the lowest cost state, California households paid $17.2 billion more.

California Commercial Electricity Price 111.0% Above Average for

Rest of US

California average Commercial Price for the 12 months ended April 2026 was 26.73 cents/kWh, 111.0% higher than the US average of 12.67 cents/kWh for all states other than California. California's commercial prices were the highest among the contiguous states and DC.

California Industrial Electricity Price 163.4% Above Average for Rest of US

California average Industrial Price for the 12 months ended April 2026 was 21.76 cents/kWh, 163.4% higher than the US average of 8.26 cents/kWh for all states other than California. California's industrial prices were the highest among the contiguous states and DC.

21.3b Above Average for Rest of US

For the 12 months ended March 2026, California's higher electricity prices translated into Commercial & Industrial ratepayers paying $21.3 billion more than ratepayers elsewhere in the US using the same amount of energy. Compared to the lowest rate state, Commercial & Industrial ratepayers paid $28.1 billion more.

California Natural Gas Prices

Average prices ($ per thousand cubic feet; 12-month moving average) for the 12 months ended April 2026 and changes from the previous 12-month period for each end user:

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