MISSION VIEJO, Calif. (KABC) — Gas prices are beginning to fall across Southern California, but drivers are days away from a statewide gas tax increase set to take effect Wednesday. The timing coincides with the opening of Costco’s first standalone gas station in the United States, located in Mission Viejo.<\/p>\n
The 40-pump station, which operates without an attached warehouse store, sits just off I-5 at Oso Parkway. Shoppers said the new location is already drawing attention for its lower prices.<\/p>\n
“The first one in the country! And a lot of gas stations around here are 80 cents to a dollar more,” said Aaron Kindred of Carlsbad who works next to the new gas station.<\/p>\n
At $4.79 per gallon, some residents worry the discounted price could lead to congestion around the freeway exit and nearby streets.<\/p>\n
“I just feel like that’s going to be an issue with traffic people coming off the freeway going in there and then getting back off and clogging up Cabot,” said Brittany Thorne of Laguna Hills.<\/p>\n
Others say they are willing to wait as long as necessary. When asked how long he’d wait for cheaper gas, Brian Patnoe of Ladera Ranch said, “You know what? I mean I’m retired so I got a lot of time on my hands.”<\/p>\n
According to AAA, the average price for a gallon of regular gas is $5.35 in Orange County and $5.48 in Los Angeles County. Prices have eased since a spike earlier this year following the start of the conflict in Iran, which disrupted global oil supply. Still, California drivers continue to pay more than $1.50 above the national average.<\/p>\n
On July 1, the state’s gas tax will rise by 2.2 cents per gallon, increasing from 61.2 cents to 63.4 cents. The California Department of Tax and Fee Administration said the adjustment stems from SB1, approved by voters in 2017, which ties annual fuel tax increases to the California Consumer Price Index.<\/p>\n
“The more they raise the gasoline tax, the more it will drive people towards Costco,” Patnoe said.<\/p>\n
Drivers say they will continue searching for savings wherever possible.<\/p>\n
“Anything’s better than what the $6.50 or whatever it is now at the regular gas station,” Thorne said.<\/p>\n
State officials emphasized that voters upheld the gas tax during a 2018 vote and noted that the tax is a fixed cost, unrelated to the price spikes seen nationwide.<\/p>\n
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