Gavin Newsome would like to do for U.S. gas prices what he did for California’s. From Eric Peters at ericpetersautos.com:
A gallon of gas costs about twice as much in California as it does pretty much anywhere else in the United States. The reason why, of course, is that California makes it cost about twice as much – by reducing supply and by adding costs, chiefly for “environmental” reasons. This includes a new requirement – going into effect very soon (Dec. 31) that all gas stations must either replace single-walled underground storage tanks or permanently close them – no matter whether the tanks are actually leaking and no matter how much it costs to replace them.
How much is it going to cost?
On the low end, about $25,000-$30,000 for one underground tank. Many stations have more than one. Then there is the additional expense of the work plus dealing with the piping and related underground stuff. A station that has to replace a couple of tanks is looking at a six figure bill for Christmas.
Obviously, this is an expense beyond the means of many independent gas station owners as the profit margin on gas is barely enough to stay in business selling gas. Of course, this is why there are very few gas stations left that just sell gas left, in California or anywhere else. Most have been taken over by corporate chains that sell everything except timeshares, with gas being the incidental thing they sell.
