Gas prices in the Bay Area, along with the rest of California and the nation, keep climbing, according to a weekly fuel report from AAA’s regional office in Walnut Creek.
Average fuel prices around the Bay Area include $5.76 in San Francisco, $5.58 in Oakland, and $5.57 in San Jose, according to the statement.
At $5.57 per gallon, a 17-cent increase from last week, California had the highest average gas price in the nation, according to the report. The national average as of Friday was $4.10 per gallon.
“Rising crude oil prices are behind the spike at the pump,” said AAA Mountain West Group spokesperson Aldo Vazquez in a statement. “Volatility along the Strait of Hormuz and instability in the region have pushed oil prices into the $90 per barrel range and could continue driving up costs during the second half of the summer.”
The largest component of gas prices at the pump is the cost of crude oil, and the second largest share of retail gas prices is refining costs, according to the U.S. Energy Information Administration in the Department of Energy.
“Volatility along the Strait of Hormuz and instability in the region have pushed oil prices into the $90 per barrel range and could continue driving up costs during the second half of the summer.”
Aldo Vazquez, AAA Mountain West Group spokesperson
The price of crude oil on the global market is constantly changing in response to supply, demand, geopolitics and other factors, according to EIA.
National gasoline production increased last week, averaging 9.7 million barrels per day, according to EIA. Gasoline demand also increased last week from 8.84 million to 8.94 million barrels per day, which is about 376 million gallons per day.
Daily updates of gasoline prices in California, including major metropolitan areas, are available on the AAA website.
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