Another Refinery Closing – Thank Newsom When Gas Prices Soar

SACRAMENTO, CA – The real-world consequences of Gavin Newsom’s war on California energy producers are becoming clearer by the day, with today’s announcement that Valero intends to shut down its Benicia refinery within a year. The closure will reduce California’s gasoline production capacity by nearly 9% and cost more than 400 jobs.

As fuel producers shut down and flee the state, California drivers are left to foot the bill – with gas prices an astounding $1.70 higher than the national average.

“Our millionaire governor might not worry about gas prices while he’s chauffeured from his mansion in Marin to his podcast studio, but working people are getting crushed by the cost of his out-of-touch agenda,” said Assembly Republican Leader James Gallagher (East Nicolaus). “Once again, Californians are paying the price for Newsom’s incompetence and self-serving attacks on energy producers. Unless the state changes course, the job losses and gas price increases are only going to get worse.”

This is the second refinery closure announced since Tai Milder, Gov. Newsom’s gas price czar insisted “California is part of the most profitable area in the country… There’s no reason that these companies cannot operate fairly with a bit more inventory and still make profit and stay in business.” The two closures will combine to reduce California’s refining capacity by 17.5%.

Instead of doing anything to lower gas prices, Newsom has:

• Supported doubling the state’s gas tax.
• Pushed a new regulation that’s expected to increase gas prices 65 cents in the near future.
• Imposed a mandate on gasoline producers to withhold fuel supplies from the market.
• Passed a law to address a made-up “price gouging” conspiracy theory. Since then, the gap between California gas prices and the national average has increased by 32 cents.

Attacked the companies and workers who produce gasoline as scapegoats for the cost impacts of his own extreme policies.

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