BUSINESS + ECONOMY

Why are Utah gas prices higher than Wyoming and Colorado?

Jul 14, 2022, 3:00 PM

Utah gas prices...

Gypsy Cottam pumps gas even as prices rose to more than $5 a gallon at a Chevron in Salt Lake City on Thursday, June 9, 2022. (Kristin Murphy/Deseret News)

(Kristin Murphy/Deseret News)

SALT LAKE CITY — Gas prices in the west always run a little higher than in the rest of the country. But why are Utah gas prices still higher than its neighbors in Wyoming and Colorado?

Gas prices remain high here in Utah, with the current average price of a regular gallon of gas around $5.13.

“In Western states, it’s really about access to oil,” AAA’s John Tremor told KSL NewsRadio’s Dave & Dujanovic. “If you look at Utah, where prices have gone down. A week ago the average was $5.23, today it’s $5.13 — they’ve dropped about 10 cents there.

“The national average has dropped 15 cents. The national average has dropped more, but it’s kind of on pace.”

Tremor said historically western states have higher gas prices. 

“It’s really about how much it costs to get crude oil into the state or refined oil into the state,” Tremor said. “In Utah, 72% of the crude oil is imported into the state, and crude oil is extremely expensive right now.” 

The oil’s origin is also a factor. 

“The ease of getting oil is the number one thing that is going to affect your prices,” he said. “There are other things like demand in your state that could be affected by things like tourism or population size. There are things like state taxes, Colorado may have a cheaper state tax than Utah. But it’s where you get your oil from.” 

He said a lot of Utah’s oil comes from California, which has higher refinery prices because they have stronger environmental regulations. 

“So if you’re buying from states where they’re refining oil at a higher cost, that cost comes to you,” Tremor said. 

The part of the state you live in also impacts the cost. If you live in the northern part of the state, it might take more effort to get it to you. And that effort costs more money.

“The pathway to get oil into Colorado is cheaper than the pathway to get oil into Utah,” he said.

Dave & Dujanovic can be heard on KSL NewsRadio weekdays from 9 a.m. to noon.

Related reading:

 

We want to hear from you.

Have a story idea or tip? Send it to the KSL NewsRadio team here.

Business + Economy

The Christmas Box House's Christmas in July campaign is asking for donations, which have lagged beh...

Brian Carlson, KSLTV.com

Christmas Box House desperate for donations

At The Christmas Box House, Christmas in July is their campaign for donations, which have lagged behind this year.

21 hours ago

FILE - Firearms are displayed at a gun shop in Salem, Ore., Feb. 19, 2021. Firearm stocks have rise...

Aimee Cobabe and Emma Keddington

Firearm stocks rise after attempted assassination of Trump

Along with a rise in firearm stocks, the Dow Jones saw record highs following the past week's big news events.

1 day ago

FILE: New apartments under construction in Herriman are pictured on Feb. 22, 2021. The Utah rental ...

Daniel Woodruff, KSL TV

Utah rental market softens, but for how long?

After years of high prices, the rental market in Utah is softening a little, thanks to a lot of new units currently hitting the market.

2 days ago

The Milkshake Factory from Pittsburg is opening its doors in Utah, and with it comes a unique story...

Michael Camit

The Milkshake Factory brings a unique story to Utah’s ice cream scene

The Milkshake Factory from Pittsburg is opening its doors in Utah, and with it comes a unique story about the American Dream.

3 days ago

Sugarhouse Barbeque is calling it quits and road construction is a big part of the reason, accordin...

Tammy Kikuchi

SugarHouse Barbeque Company closing after struggles with road construction

Sugarhouse Barbeque is calling it quits and road construction is a big part of the reason, according to General Manager Jeff Berg.

6 days ago

Have summer plans? Thinking about car insurance and safety might be a good thing this summer...

Josuee Sanchez

Summer car insurance and safety should be top of mind, expert says

Traveling over the summer can be fun, but it can also be a tough if you don't think about car insurance when making those plans.

7 days ago

Sponsored Articles

A young woman smiles while reading the menu at a lakeside restaurant, enjoying the panoramic view o...

Bear Lake Convention & Visitors Bureau

The best restaurants to try in Bear Lake

Save this guide to the best restaurants in Bear Lake when you need to find a place to dine during your next visit.

Female leg stepping on weigh scales. Healthy lifestyle, food and sport concept....

Health Utah

Sustainable weight loss: the science-backed way to achieve it

Learn more about Debbie's weight loss journey with Health Utah, who have a unique weight loss philosophy for success.

Underwater shot of the fisherman holding the fish...

Bear Lake Convention and Visitors Bureau

Your Bear Lake fishing guide

Bear Lake offers year-round fishing opportunities. By preparing ahead of time, you might go home with a big catch!

A group of people cut a purple ribbon...

Comcast

Comcast announces major fiber network expansion in Utah

Comcast's commitment to delivering extensive coverage signifies a monumental leap toward a digitally empowered future for Utahns.

a doctor putting her hand on the chest of her patient...

Intermountain Health

Intermountain nurse-midwives launch new gynecology access clinic

An access clinic launched by Intermountain nurse-midwives provides women with comprehensive gynecology care.

Young couple hugging while a realtor in a suit hands them keys in a new home...

Utah Association of Realtors

Buying a home this spring? Avoid these 5 costly pitfalls

By avoiding these pitfalls when buying a home this spring, you can ensure your investment will be long-lasting and secure.

Why are Utah gas prices higher than Wyoming and Colorado?