Logout

Question of the Day - 17 March 2025

Q:

Why in southern Nevada do we have to get our auto gas from California? They’re killing us on gas prices! Arizona and Utah aren't viable options?

A:

The economics of the gasoline business are, admittedly, not our forte, but we've taken a stab at this question anyway.

What we find is that Nevada’s gasoline primarily comes from California due to logistical, economic, and regulatory reasons.

First and foremost, southern Nevada is geographically closer to California’s refineries (mainly in the Los Angeles area) than refineries in Arizona or Utah. As such, the Calnev Pipeline has been transporting gasoline, plus diesel and jet fuel, directly from southern California refineries to Nevada since at least the early '90s (some accounts list it as older). So the system is well entrenched and it was the only one supplying fuel to southern Nevada until the UNEV Pipeline started up in 2012. In fact, that gasoline originates in Woods Cross, Utah, 10 miles north of Salt Lake City. So California isn't entirely to blame for the high gas prices here. 

California has the third largest fuel-refining capacity in the U.S., behind only Texas and Louisiana. Producing more fuel than it consumes, the surplus keeps a steady supply of gasoline flowing to Nevada and other western states.  

Nevada, particularly Clark County, follows cleaner-burning fuel standards similar to California’s to meet federal air-quality regulations. Gasoline from other states may not meet these specific environmental standards, making California fuel the most compatible choice.

Finally, even though California has higher consumer taxes on gasoline, the fuel Nevada receives is usually taxed based on Nevada’s rates, not California’s. However, the cost of refined gasoline is still higher due to California’s stricter fuel regulations, which increase production costs.

Bottom line: You chooses a place to live and visit and you pays the price. You could always reside or vacation in Mississippi, which currently has the least expensive gasoline prices in the nation. 

 

No part of this answer may be reproduced or utilized in any form or by any means, electronic or mechanical, without the written permission of the publisher.

Have a question that hasn't been answered? Email us with your suggestion.

Missed a Question of the Day?
OR
Have a Question?
Tomorrow's Question
Has Clark County ever considered legalizing prostitution?

Comments

Log In to rate or comment.
  • Roger Gallizzi Mar-17-2025
    Air Pollution
    I grew up in the foothills of Southern California (Altadena) in the 1960s. Prior to the California clean fuel regulations, the smog was so bad that your lungs hurt breathing and on many days the smog was so bad we weren't allowed to have recess.  All of that changed.  Nevada, especially Las Vegas Valley, is well-served by using this gas.  

  • Robert Cone Mar-17-2025
    Fuel from California
    A lot of fuel comes from the Phoenix area (5 Hour drive one way) and from Salt Lake ( an 8 hour drive). I know this because I have seen trucks delivering fuel to Nevada stations and have asked the drivers. When I asked the station owners, they all told me it was cheaper to buy fuel from AZ/Utah due to Calif. charges a ton of fees on the purchases. When I told them Calif. can't charge their fees/taxes as it is an interstate shipment they say it is because the sellers demand they take ownership of the fuel in Calif. So Calif gets some of their tax money and fees from fuel delivered to Nevada. 

  • Halcyondays Mar-17-2025
    Roger Nailed It
    My first post college job was in Santa Monica during the mid-late fifties.  I spent my time between there and an apartment located west of USC/The Colesseum with weekends in the Sierras or seasonally in the desert.  I rarely ventured east of the downtown library unless I was headed out of town.  One afternoon in late July or August of '59, a coworker and I went to Pasadena to consult with a Cal Tech prof regarding a problem at work.  We went in the Jag roadster I was then driving.  When we emerged from the easternmost tunnel on the Pasadena freeway and the smog hit me, my eyes watered up such that I could barely see.  That was quite an experience.  Solid traffic in every lane, a curvy stretch of freeway, and sixty to seventy mph.  I stayed in my lane by looking down at the lane paint, glancing up to maintain distance from the car ahead.  My eyes cleared in less than a minute--I suppose--but it seemed like forever and, clearly, I've never forgotten.

  • steve crouse Mar-17-2025
    Get Woke People
    No need to pay those prices for that eeevil dino fuel.
    Just buy a Tesla and fuel it from the grid.
    You'll be saving the planet, and Making America Gret Again. Ha!

  • Hoppy Mar-17-2025
    Not all bad
    Why do dogs chase cars? They get off on the fumes. I forget who said that.

  • Kevin Rough Mar-17-2025
    Prices have gotten worse
    When I first started visiting Las Vegas in 2009, gas prices in Las Vegas were around the same as they were at home in Pennsylvania.  Since then we've increased our gas tax ridiculously but gas prices in Las Vegas are actually a lot higher than they are here.  It was about 70 cents a gallon higher than it was at home back in December.

  • Henry Mar-17-2025
    CalNev Pipeline opened in 1961
    Union Pacific was the main owner of the pipeline, built in 1960, opened in 1961. Sold to GATX Terminals in the 80s
    

  • AL Mar-17-2025
    Mississippi
    Although Mississippi is the lowest-cost state in the country in many ways, it is also the worst or one of the worst in many ways, so you should think twice about moving there if it isn't a financial necessity.  In general, health care is the worst in the South, and Mississippi's is bad.  Cigarette smoking is entrenched as a way of life in the entire South, and Mississippi is as bad as any Southern state, so you face the prospect of smoke hitting your face and going into your lungs anywhere you go.  Although home prices are low, so are salaries.  The education system is relatively bad.  And the people there (overwhelmingly White, "straight", and either Christian or pseudo-Christian) are more prejudiced against Black, LGBT, or Muslim people than residents of any state except Alabama.  I guess this would be an OK place for you if you were a White bigot who doesn't have health problems, but if you're not, then you should really ask yourself whether you want to live in a place like that.

  • Raymond Mar-17-2025
    Hey, AL
    I think the Mississippi reference was a joke.  "Would you rather live in [fill in the blank]?"
    
    Changing the subject a little--I remember the first time I flew into LA in daylight, in 1980, going through layer after layer of BROWN air.  What made it really bad was that I was going to be out there for two weeks.