Is President Biden to blame for spiking Fresno gas prices? Here’s what we know

Is President Joe Biden to blame for the spike in gasoline prices Fresnans are experiencing at the pump?

That’s the accusation some of Biden’s foes, including former President Donald Trump, are making as the American Automobile Association reported gas prices hit an average of $5.52 in the city Thursday.

Those playing the blame game can cite the president’s announcement of a boycott on Russian oil exports as well as the closure of the Keystone Pipeline announced by his administration on his first day in office.

But policies, legislation, seasonal variations and supply and demand all enter into the calculus of fuel prices. How much of a role does the president play?

THE PRESIDENT’S ROLE

According to Jeff Lenard, the vice president of strategic initiatives at the National Association of Convenience Stores, “Gas prices are largely dictated by oil prices and oil prices are dependent upon supply and demand. Presidential control is not as simple as what (social media) posts suggest.”

Every president since 2000 has left office with gas prices higher than when they took office, Lenard argued, adding that the drop in fuel consumption related to the pandemic led to a small spike in gas prices during President Trump’s last week in office compared to his first.

But there was a rising, bipartisan clamor among the nation’s governors Thursday putting pressure on the president to support the suspension of the federal gasoline tax. Those joining the call included Michigan Gov. Gretchen Whitmer.

And Californians might receive a gas tax rebate, under a proposal by Gov. Gavin Newsom.

WHAT ARE THE MAIN FACTORS THAT IMPACT THE PRICE OF GAS?

There are four main factors that affect the price of gas, the U.S. Energy Information Administration says:

• The cost of crude oil
• Refining costs and profits
• Distribution and marketing costs and profits
• Taxes by federal and state entities

HOW IS THE COST OF CRUDE OIL DETERMINED?

• Crude oil prices depend on many factors, and is the main contributor to the increase in gas prices, according to the energy administration. Those factors include: Supply of crude oil: When the overall supply of crude oil decreases, gas prices usually rise.
• Demand for crude oil: The U.S. uses more oil and refined products, like gas, diesel, heating oil and jet fuel, than any other country in the world. Increasing demand for oil products leads to higher prices.
• Distribution network interruptions: Interruptions like natural disasters or political instability can cause gas prices to rise. In California, refineries usually run at maximum capacity, and any breakdown at one of those facilities can create a spike in prices, according to the Department of Energy.
• Value of the U.S. dollar: Oil is traded on the world market in U.S. dollars. When the value of the dollar drops, producers earn less and respond by raising prices.

CALIFORNIA’S HIGH FUEL TAX RATE

Californians pay among the highest gasoline prices in the country. Motorists in the state pay 86.55 cents per gallon in California and federal taxes and fees; the next highest is Illinois at 78 cents, and the national average is 57.09 cents. In addition, California laws require special fuel reformulations that also drives up the price at the pump.

The Charlotte Observer and The Bee Washington Bureau contributed to this report.