Getting Answers: Will Releasing Oil From Reserve Give Relief For CA Drivers?
SACRAMENTO (CBS13) – President Biden announced Thursday he wants to release a million barrels of oil per day from the nation's reserve for six months.
California has the highest gas prices in the nation with the current average price for regular unleaded gas at $5.89, according to AAA.
It fell by about two cents from Wednesday.
Gas expert Severin Borenstein of UC Berkeley tells CBS13 tapping into the Strategic Petroleum Reserve will help, but more importantly, it will target Russia's crude oil prices.
California consumes about 40 million gallons of gasoline per day, he said.
Bornstein says it breaks down to about a gallon per person per day.
There are 42 gallons to a barrel.
The calculation? The release won't be meaningful to California drivers.
"Everything is going up except for our wages," says Nikkia Hamilton, a single parent to two teenagers.
The working mother tells CBS13 she spends roughly $800 per month on gas. Prior to the Russian invasion, her monthly gas expense was around $500.
"A lot of things are limited now on what we're going to do because I have to choose 'We're going to get gas or we're going to have to do something else?'"
Hamilton says the squeeze means her children sometimes use public transit.
While California lawmakers debate the best relief proposal, there might be a bright spot.
"The spot price of California gasoline that is at the refinery has been coming down so I think we will start to see that over the next couple of weeks – if oil prices hold steady," Borenstein said.
When prices do come down, Borenstein says drivers should keep comparing gas prices because that's the time when drivers see the biggest spread between stations.
Some come down quickly, others don't, Borenstein said.
