Where Do My Gas Dollars Go?
As a consumer with little knowledge of the oil and gas industry, it’d be easy to think that gas stations are out to get you for every little penny. But that’s not the case!
Using 2016 data, we show you exactly what makes up the price of a gallon of gas. It starts with drilling and ends with federal, state, and local taxes.
As the graphic shows, in 2016, the US average cost for one gallon of gas was $2.15. Here's where all that money for one gallon of gas went:
- Drilling - 96.75 cents
- Refining - 38.70 cents
- Transportation - 19.35 cents
- Retailer - 15.05 cents
- Taxes - 45.15 cents
There you have it. Only 15 cents out of $2.15 goes to the gas station. Retailers make up the difference on car wash and product sales.