Wednesday , 17 September 2025

Why are Oregon gas prices so high? Confluence of factors sends prices skyrocketing

A stroke of bad luck has sent gas prices in Oregon rocketing 15 cents upward in the past week — to $4.28 per gallon, the second largest price increase in the nation over the last week, according to AAA.

The only state where gas prices increased more was Washington, where the cost of a gallon leapt 16.5 cents in the past week, to $4.66 per gallon. That’s the highest price among all 50 states, which on Tuesday averaged $3.18 per gallon.

“Drivers in Oregon and Washington are being hit by a triple whammy when it comes to gas prices,” said Marie Dodds, a spokesperson for AAA Oregon/Idaho, in a news release Tuesday.

Dodds said the sudden price jumps have been brought on by maintenance and repairs to refineries in Washington and California. The fact that the refineries were producing a more expensive summer blend of fuel wasn’t helping matters either, Dodds said.

Adding to that was the sudden shutdown in early September of the 400-mile Olympic Pipeline, which moves fuel from Washington refineries to Portland and other locations. As a result, fuel needed to be sent into Oregon by barge, a far more expensive form of transit.

But Dodds said “drivers here should get some relief soon” because the Olympic Pipeline appears to be working again. Refineries also switched this week to producing cheaper, winter-blend fuel that can cost 10 to 30 cents less per gallon at the pump, Dodds said.

“It’s too early to say how soon prices will fall,” Dodds told The Oregonian/OregonLive in an email, but “we have seen the Oregon average tick down slightly the past two days.”

In the meantime, as of Tuesday, Oregon drivers are paying an average of $1.10 more per gallon than drivers nationally. Washington drivers are paying nearly $1.50 more.

Washington now leads the nation in priciest gas, followed by California and Hawaii, which usually claim the top two spots.

Oregon has the fourth highest gas prices. The state frequently makes the top-five list of states with the most expensive fuel.

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