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In Alaska, our prices are not even comparable to other locations though gasoline and its production costs are pretty much the same from the $65 barrel of oil.  (For instance, gas is $2.37 in the currently least expensive state of Missouri, while it is $3.40 in Alaska and $3.77 in the most expensive state of Hawaii). So what is the difference in price? Undoubtedly it is due to transportation costs.  As ironic as that may sound, gas runs about 6 pounds per gallon.  So when we ship processed gas into the state, it has taken a good deal of fuel to merely carry it from the refinery.  There are also most likely price efficiencies lost from such a small scale of users compared to the lower 48.  Consider it as part of the price to have large clear places and beauty daily which the tourists dish out thousands to travel and see!