A new report from the Institute for Energy Research finds that in 2026, blue states averaged $3.69 per gallon for gasoline while red states averaged $3.14, a 55 cent gap. The report attributes the difference to decades of state-level policy decisions including higher fuel taxes, carbon taxes, cap-and-trade programs, and stricter refinery regulations, with West Coast policies driving much of the disparity. The report's author, Alex Stevens, told The Center Square that the gap is not just a product of global market forces but is heavily driven by deliberate state policy choices. For readers tracking carbon pricing and emissions policy, this report offers a concrete data point on how state-level climate policies translate into consumer costs at the pump.
