Gas Prices Surge Toward $4 as Oil Hits $100: Ukraine

By Douglas A. McIntyre Updated Feb 24, 6:49AM EST · Published Feb 24, 4:44AM EST

Follow 24/7 Wall St. on Google

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Gas Prices Surge Toward $4 as Oil Hits $100: Ukraine — © Polina-Petrenko / iStock via Getty Images

The war in Ukraine has sent oil prices above $100 a barrel for the first time since 2014. The price of a gallon of gasoline, already above $4.00 in some states, is bound to jump across the country. They are already $4.76 in California, $4.51 in Hawaii and $4.00 in Washington.

States with gas prices near $4 include Oregon at $3.99, Utah at $3.99, Nevada at $3.98, Alaska at $3.85, and New York at $3.74, according to GasBuddy.

Gas taxes do exacerbate the high gas price problem. Most of the states with high gas taxes also have the highest total price per gallon for gasoline. Their budgets may benefit from the income, but the consumers in these states are more likely to have their household budgets hurt.

To determine the state with the highest gas taxes, 24/7 Wall St. reviewed data on average state gas taxes in January 2022 from the American Petroleum Institute. Already built into the price of a gallon of gas is the federal government tax of 18.4 cents. Each state also adds an excise tax. State-levied taxes and fees can account for anywhere from roughly 5% to more than 20% of the total cost of gas. (Note that taxes on diesel fuel are higher than those on gasoline in most states.) Federal and state governments have directed that revenue from gasoline taxes go to fund road construction and repair.

[nativounit]

The price of gasoline has been a sore spot for inflation-strapped consumers. From December 2020 to December 2021, the energy index portion of the consumer price index leaped 29.3%, boosting the overall index by 7%, the largest 12-month increase since the period ending June 1982.

Data on state gas tax totals does not include the federal gas tax. Supplemental data on average prices for regular gas by state came from the AAA. Prices are current as of Jan. 14, 2021. Annual vehicle miles traveled per driver was calculated using data on total vehicle miles traveled in 2020 from the Federal Highway Administration and an estimate of the number of licensed drivers in 2020 based on administration data for the number of those drivers in 2019. Population data for 2020 came from the U.S. Census Bureau.

Click here to see which state has the highest gas tax.
[wallst_email_signup]

About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.