Bay Area gas prices have reached a wartime high as fuel prices continue to spike. One San Francisco station was spotted charging $7.15 a gallon. Here's where the economic crisis is hitting the hardest.
Friday, May 1, 2026 2:44AMOil prices hit a new wartime high on Thursday, surging above $126 a barrel amid concerns the war in Iran could lead to prolonged disruptions to global fuel supplies.
The spike quickly translated to higher prices at the pump across the Bay Area, with Marin County now posting the highest average gas prices in the region at $6.26 per gallon. But a Shell station in San Francisco is charging almost a dollar more than that. Gas is going for $7.15 a gallon at a station at 4th and Bryant Streets. Marin County prices are slightly lower but still among the highest in Northern California.
"Every time I fill up, it's an extra $20," said Marin County resident Jake Lesnik. "It definitely hits the pocketbook. " At an ARCO station in Mill Valley, long lines formed as drivers searched for cheaper fuel. Owner Mike Shamsian said some customers are buying only what they can afford.
Farmers Feel the Squeeze Higher fuel costs are also hitting local farmers hard. Sebastopol farmer Adrian Ortiz fills his delivery van up to three times a week, supplying produce to about 10 farmers markets, including the Marin Civic Center. Ortiz says higher transportation costs may soon be passed on to customers.
"As much as we don't want to, as farmers, we're going to have to raise prices when times are tough," he said. Produce shipped longer distances are facing similar pressure. Blueberries from Triple Delight Farm in Fresno must travel hundreds of miles to Bay Area markets.
"These gas prices are getting out of hand for us," said Spencer Umidonof Triple Delight Farm. "We're trying to keep prices the same, but it's getting difficult. "Governor Gavin Newsom blamed the surge on the war, saying gas prices have hit their highest national level since the early months of Russia's invasion of Ukraine in 2022. Stanford University economics professor Neale Mahoney warns that the impact could extend far beyond the pump.
"Families were counting on tax refunds to make ends meet or pay for summer vacations," Mahoney said. "With gas prices up, it's probably about $800 more over the course of a year. " What's Next? Economists say if the conflict continues.
High gas prices could persist into the summer driving season-further pressuring household budgets already stretched thin. All of this is due to inflation being driven up by the war with Iran. A key inflation measure jumped in March as gas prices soared, the latest sign that the Iran war is pushing up the cost of living and delaying any interest rate cuts by the Federal Reserve.
The Commerce Department said Thursday an inflation gauge monitored by the Fed rose 0.7% in March from February, up slightly from the previous month. Compared with a year ago, prices rose 3.5%, the biggest increase in almost three years. Related Topics
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