A recent article The Epoch Times“Phillips 66 to close Los Angeles refinery,” explains how Phillips 66 is closing one of its refineries in response to uncertainty and “market dynamics” caused by state climate and energy policies. [emphasis, links added]
this is true.
California's government is hostile to anything to do with oil and gas, so the refinery closures shouldn't come as a surprise.
era According to the report, “Phillips 66 said on October 16, It plans to close its refinery in the Los Angeles, California area in the fourth quarter of 2025.“
CEO Mark Lashier issued a statement explaining that uncertainty and “market dynamics” have affected their confidence in the long-term “sustainability” of the plant and are the reasons why Phillips 66 chose to close the location.
Another spokesman told Epoch that “lower profitability” compared to other company assets was a factor, but claimed that Parliament's X2 bill – a bill that would impose a heavier regulatory burden on refiners – was not burdensome. There is strict liability.
A spokesperson told Epoch that Phillips 66 is not exiting California entirely but will instead look for “new ways to serve the California market,” which will increasingly include imported gasoline.
California will lose 85,000 barrels of gasoline and 65,000 barrels of diesel and jet fuel production per day due to the shutdown.
Other oil companies have responded more honestly and forcefully to California's new move to regulate refinery prices, with one Chevron executive putting it bluntly: “California’s policy choices drive away suppliers, resulting in gasoline shortages.” in a letter sent to the California Legislature in January.
While Phillips 66 has tried to play nice with the California government and said the bill is not responsible, others believe era Respondents more directly linked the shutdowns and California's high gas prices to the state's anti-fossil fuel policies.
Alessandra Magnasco, director of government affairs and regulatory affairs for the California Fuel and Convenience Alliance era That:
“[t]There's no mystery to our high gas prices—the overhead costs of running our stations have skyrocketed, environmental regulations are costly, and there's even less supply now on the market, In this government-created energy crisis, every Californian will end up paying higher prices.“
she went on “Refinery closures are a direct result of policies that make it increasingly difficult to maintain and expand critical infrastructure.”
That's right and it's good era for reporting it.
Fuel prices in California have been higher than the national average, currently at $4.65 per gallon, compared with the national average of $3.19 per gallon, according to the AAA gas price tracking website.
Californians already pay about $1.42 per gallon in state and federal taxes, and every new fuel standards rule and some anti-petroleum legislation has pushed up fuel costs in the state.
Importing fuel from out of state will make it more expensive, and Phillips is unlikely to be the only refiner to feel the pinch anytime soon.
California fuel price hikes will make everything more expensive for Californians, not just filling up their tanks, because climate realism As previously reported in “Thanks to Center Square for reporting on the impact of high fossil fuel prices on food prices,” high fuel prices have a particularly significant impact on food costs.
Diesel fuel powers trucks, tractors and other equipment needed for planting and harvesting and ultimately transportation and processing.
Worst of all, California’s madness is dragging down not only itself but other states as well.
California refineries export fuel to neighboring states such as Nevada and Arizona, whose governors have publicly opposed the bill because of the impact it would have on their fuel prices.
The idea that another set of regulations on top of California’s already overwhelmed oil and gas industry won’t lead to the closure of refineries and other fuel companies is ignorant.
The Epoch Times Excellently points out the impact of California energy policy and demonstrates real casualties Newsom and Democratic leadership's efforts to limit fossil fuel use in the state have cost the state jobs and residents paying higher prices.
Top image via NBC-LA/YouTube screencap
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