Gas prices are a critical concern for Americans, impacting family budgets, cost of goods, and even vacation choices. However, by 2025, several states will almost certainly pay more for gas than the national average.
Why? A number of factors are coming together to create the perfect storm: stricter regulations, differing supply, and demand. Gas prices in these 14 states are projected to spike — here’s why.
California
It’s no surprise that California tops this list. According to USC professor Michael A. Mische of Marshall School of Business, retail prices will increase by $0.47 to $0.65 per gallon thanks to plans to implement stricter fuel standards and blending requirements by 2025. However, Californians may also have to earn up to $1,000 more annually just to maintain their current driving habits as gas taxes and environmental policies gather steam.
Hawaii
Thanks to its geographical isolation, Hawaii usually tops the list of the most expensive states for gas. Imported gasoline makes the transportation cost high. Projections are that Hawaii’s average gas price will rise above $5 per gallon and remain an expensive outlier for drivers.
Washington
Gas price spikes are expected in Washington as clean energy initiatives drive up production costs. The area is close to the coast and is strongly affected by high state gasoline taxes, which add to the upward pressure on pump prices.
Nevada
Nevada already has higher-than-average gas prices at outer urban hubs because of transportation and supply chain costs. This trend is expected to be exacerbated by future increases in prices of natural gas, as well as demand for cleaner energy sources.
Pennsylvania
Pennsylvania has one of the highest gas taxes in the nation, and its residents hold the brunt of that. Yet higher natural gas prices in 2025 could still drive pump prices higher.
Illinois
Combined with its high rates of fuel and urban demand, drivers in Illinois face some of the country’s heaviest financial burdens of fueling up. And prices are likely to stay high as the state adjusts its taxes and raises its transportation costs heading into 2025.
Utah
Utah is vulnerable to price hikes because of growing consumer demand coupled with natural gas-dependent energy systems. They are forecast to affect industrial and retail gas prices.
Idaho
Idaho’s anticipated gas price jumps start with rising energy demand. Idaho residents also have fewer low-cost fuel options because of transportation and rural access limitations.
Oregon
Oregon’s fuel blend requirements, as well as its environmental regulations, are similar to those in California so production costs have gone up. That, combined with higher state taxes, means gas prices will skyrocket in 2025.
Alaska
Interestingly, Alaska’s surplus oil resources doesn’t protect its residents from paying high fuel prices. Transportation challenges in the state’s remote communities raise costs at the pump.
Arizona
Due to Arizona’s year-round driving culture and its strong dependence on long-distance fuel delivery, the market is very volatile. Regional supply shortages and logistics are heavily influencing gas prices.
New York
New York is always on such lists because of its high population density, heavy demand, and high gas taxes. By 2025, its steep prices are expected to be compounded by rising energy and transportation costs.
Connecticut
Connecticut drivers will undoubtedly pay additional at the pump in years to come with regional energy reforms affecting gas distributors, plus gasoline taxes and strict emissions regulations.
Massachusetts
Like Connecticut, Massachusetts faces higher profile gas prices because of its clean energy goals, and it pays more to transport those fuels from refineries.
Disclaimer – This list is solely the author’s opinion based on research and publicly available information.
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