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    Home»Personal Finance»Credit & Debt»Gas Prices Rise This Week—Where Drivers Are Paying the Most and Least
    Credit & Debt

    Gas Prices Rise This Week—Where Drivers Are Paying the Most and Least

    Money MechanicsBy Money MechanicsMarch 4, 2026No Comments3 Mins Read
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    Gas Prices Rise This Week—Where Drivers Are Paying the Most and Least
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    Key Takeaways

    • The national average gas price climbed back above $3 this week after rising nearly 8 cents from the prior week.
    • Oklahoma and Arkansas average in the mid-$2 range, while California, Hawaii, and Washington state drivers pay well above $4 per gallon.
    • After falling below $3 in December for the first time since May 2021, gas prices stayed there for 13 weeks before rising this week.

    Gas Prices Climb Back Above $3 After 13 Weeks Below That Mark

    The U.S. national average price of regular gasoline climbed back above $3 per gallon this week, rising nearly 8 cents from the prior week, according to new data from the U.S. Energy Information Administration. The increase ends a 13-week stretch in which prices had remained below $3.

    That run began at the start of December, when the national average fell below $3 for the first time since May 2021. Prices then held under that mark for three months before moving higher in this week’s reading.

    Oil prices have moved higher in recent days amid the Iran conflict and broader global tensions, though changes in crude markets typically take time to filter through to retail gas prices.

    Why This Matters

    Gas prices are ticking higher again, which could affect commuting and travel budgets if the trend continues. Still, what you pay depends heavily on your state—and the gap can approach $2 per gallon.

    Where Gas Is Cheapest—And Most Expensive—Right Now

    While the U.S. Energy Information Administration publishes national and regional averages, state-by-state prices come from AAA’s daily data.

    Southern and Midwestern states currently offer the lowest prices in the country. Oklahoma has the cheapest statewide average at $2.62 per gallon, followed closely by Mississippi at $2.64. Kansas and Arkansas are next at $2.70.

    At the other end of the spectrum, drivers in California are paying $4.67 per gallon on average. Hawaii follows at $4.40, while Washington drivers pay about $4.38.

    The gap is striking: A driver filling up in Oklahoma is paying roughly $2 less per gallon than someone in California.

    When Gas Prices Hit $5

    The national average surged into the $4 range in summer 2022 and briefly topped $5 per gallon, marking the highest levels in more than a decade.

    Why Gas Prices Vary So Widely by State

    The differences can be striking. A driver in Oklahoma could pay $2 less per gallon than someone filling up in California. But that wide spread isn’t random—it reflects structural differences in how gasoline is taxed, produced, and delivered across the country.

    The differences in what gasoline costs across the country are significant. A driver in Oklahoma is paying roughly $2 less per gallon than someone filling up in California. That gap reflects structural differences in how gasoline is taxed, produced, and distributed across the country.

    Fuel taxes are one of the biggest reasons prices vary by state, according to the U.S. Energy Information Administration. In late 2025, taxes accounted for more than 17% of the average price per gallon. Because some states add far more in taxes and fees than others, those differences show up clearly at the pump.

    Prices also depend on proximity to refineries and pipelines, as well as whether a state requires special fuel blends that cost more to produce and transport. California, for example, mandates a unique cleaner-burning gasoline blend that relatively few refineries produce. The state also has one of the highest gasoline taxes in the country.



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