Olympia Update

Why are Washington gas prices rising while prices in other states remain same?

 

February 9, 2023



After Washington drivers endured record-high gas and diesel prices for much of last year, fuel prices dropped substantially across the state during the final months of 2022. But you may have noticed they have risen sharply again in recent weeks.

The reason for this latest spike is one of Governor Jay Inslee's environmental laws, approved by legislative Democrats two years ago.

In early January, I was informed by a friend who works in the fuel distribution industry that wholesale gasoline and diesel prices had risen sharply due to the "cap-and-tax" law that went into effect on January 1. It was only a matter of time until retail fuel prices reflected the hike in wholesale prices.

The average price of regular gasoline in Washington rose from $3.846 a gallon a month ago to $4.124 as of Jan. 30.

During one of his weekly meetings with reporters a couple of weeks ago, Inslee was asked about reports that his cap-and-tax legislation had already raised the price of gas by 10 cents a gallon. The governor responded by denying that his costly environmental law was the culprit for the gas-price hike and instead pointed the finger at oil companies, arguing they are using the war in Ukraine as an excuse to jack up fuel prices.


The problem with Inslee's argument is that gas prices pretty much remain unchanged in nearby states like Oregon and Idaho. While the average price of regular gasoline in Washington has increased by nearly 30 cents a gallon over the past month, the average price of regular gas in Oregon barely rose from $3.744 per gallon to $3.772 as of Jan. 30. And in Idaho the average price of regular gas has remained unchanged over the past month at $3.445. (You can see AAA's state-by-state fuel prices for yourself by clicking here.)

The governor either is misleading the public on the impact of his cap-and-tax on fuel prices in our state or he is ignorant when it comes to current fuel prices in Washington compared to nearby states.

Farm diesel isn't exempt from 'cap-and-tax' law, but it should be

When the Democratic majorities in the Senate and House passed the ill-considered cap-and-tax bill two years ago, I was told that farm diesel fuel (or dyed diesel) would be exempt from the effect of the law for four years.

However, when cap-and-tax went into effect on Jan. 1, I was shocked and very unhappy to learn that the state Department of Ecology has not implemented this important exemption for farmers in our state.

I have reached out to Ecology officials to find out why in the world the agency has failed to follow through on this important exemption for our agricultural community. The response so far is that it will implement this exemption this summer. Apparently, Ecology thinks farming only takes place during the summer and not year-round. The agency's response is unacceptable. You can be assured that I will keep working to finally get this necessary exemption for farmers.

-Sen. Mark Schoesler, R-Ritzville, has served the 9th Legislative District since 1993. In addition to being a senator, he is a fifth-generation farmer.

 
 

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