Get ready to dig deeper into your pocketbook to buy fuel in California. Beginning in 2015, state law will force distributors of gasoline, natural gas, and propane into the same cap-and-trade marketplace as utilities and major manufacturers.
The oil industry predicts price hikes of at least 12 cents a gallon immediately. But, state regulators say any price spikes could vary widely … from barely noticeable to double digits.
According to the Associated Press, Senate President Pro Tem Darrell Steinberg says the additional fuel costs eventually could spike as high as 40 cents a gallon, and he has proposed an alternative - a flat carbon tax starting at 15 cents a gallon.