One South San Francisco gas station was charging $7.89 a gallon Tuesday. During peak commute times, the only people ABC7 Eyewitness News saw filling up there said their employers were covering the costs, and that they would never buy gas there with their own money.
Tuesday, May 5, 2026 7:34PMGas prices surged again overnight across the Bay Area, with some South San Francisco stations charging close to $8 a gallon Tuesday as crude oil prices spiked amid the war with Iran.
One South San Francisco gas station was charging $7.89 a gallon, highlighting a sharp rise that pushed prices well above regional and national averages. California's statewide average climbed to $6.13 a gallon, while prices in the Bay Area continued to trend higher. Drivers in San Jose were paying an average of $6.14 a gallon, according to reported figures. In Oakland, the average stood at $6.19, while San Francisco's average was higher at $6.34 a gallon.
"We could be seeing a national average rise to $4.55 to $4.75 by the time Memorial Day rolls around," said Patrick De Haan, head of petroleum analysis at GasBuddy. The high cost of gas in California has gained attention beyond the state's borders. Rena Foster, visiting from New Mexico, said the family anticipated expensive fuel while renting a car in South San Francisco. At a Valero station in South San Francisco, Foster found prices at $7.69 a gallon.
The station located near San Francisco International Airport is typically among the higher-priced locations in the Bay Area. Even so, that cost appeared modest compared with prices at another nearby station along Airport Boulevard. Prices at a Shell station were almost painful to look at, with $7.89 for a gallon of regular gas and $8.99 a gallon for diesel. During peak commute times in the morning, ABC7 Eyewitness News saw very few cars coming to get gas there.
Most of the vehicles seen stopping for fuel were work vehicles. Drivers said they were only filling up because their employers were covering the expense. Some said they would never purchase gas there with their own money. Elsewhere on the Peninsula, gas prices were about a dollar lower than those found at the South San Francisco stations.
Still, at $6.69 a gallon, the cost remains a financial strain for many drivers.
"Every day, every week, it's going up. It's supposed to go down," said Adam Boch, an Uber driver. Boch said he sometimes fills up two to three times a day, costing him well over $100 daily. He said he is now considering buying a hybrid vehicle to offset fuel expenses.
"If the Strait remains closed into the month of June, I think by July 4, we'll be at all-time record highs," De Haan said. "I hope you know soon, we're going to get better," Boch said.
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