Santa Monica residents are feeling more of a guzzle of their funds at the gas pump this month, and a seasonal switchover may be the root of the increase.
According to the national source for gas station prices, GasBuddy, average gasoline prices in Los Angeles are 17 cents per gallon higher in March than in February, and the average price of gas in the metro ($4.25 per gallon) is seven cents greater than March 2023. GasBuddy’s national average, compiled from over 150,000 gas stations, is $3.44 per gallon, up 18.7 cents from February.
Santa Monica pumps were impacted on similar levels to the Los Angeles and national averages. Per GasBuddy prices and Daily Press reporting, out of 13 Santa Monica gas stations covered in the weekly Daily Press gas prices graphic, 10 of them are up at least nine cents per gallon from February 13 to March 19. Several of the stations have reported growth as high as 40 cents per gallon for regular gas.
For GasBuddy head of petroleum analysis Patrick De Haan, the reason "is the season," with February and especially March representing an upswing in prices due to several factors.
"Gasoline demand is rising as more Americans are getting out, combined with the summer gasoline switchover, which is well underway, and continued refinery maintenance," De Haan said.
According to transportation advocacy group NACS, gasoline prices have increased about 50 cents from the beginning of February through mid-May since 2000, starting with February refinery maintenance.
Maintenance periods, also known as a "turnaround," are often scheduled during the first months of the year, a periodic total or partial shutdown of a refinery process to perform maintenance, repair operations, and testing of materials and equipment. Roughly 25% of American refineries are in turnaround each year. One such maintenance process this year occurred at a BP refinery in Whiting, Indiana, which had an electrical failure in February but is now back to normal operations.
"This madness should slow down in the next few weeks as we’ve seen positive data that refinery output is starting to increase, a sign that the peak of maintenance season could be behind us," De Haan said.
The March rise in prices is also due to the beginning of transition periods from winter-blend to summer-blend production. Gasoline blends during the summer months differ from the winter, particularly with Reid vapor pressure. In the winter months, fuels have a higher Reid vapor pressure to evaporate more easily, letting cars start in colder weather.
However, this blend of gas leads to increased emissions and smog formation during the summer, leading to a transition to summer-blend. The summer-blend fuel production process is elongated, which combined with a lower overall yield of gasoline per barrel of oil, means this fuel adds to the national cost.
Gas trends echo consumer prices rising nationwide, with the US Department of Labor reporting that consumer prices rose 0.4% from January to February. The persistent issue of inflation has continued into 2024, with items such as food and energy prices, air fares and clothing prices joining gas in increasing prices.
"It’s a disappointment, but not a disaster," US economist at asset manager AB Eric Winograd told the Associated Press. "The underlying details are more encouraging than the top-line number, which was boosted by a few volatile categories — the type of prices that tend not to repeat month-to-month."
