Amid increased gas prices nationwide since the U.S. attacked Iran, Newsom is weighing a bill that could drive out the few remaining refineries in California. [some emphasis, links added]
The California Air Resources Board (CARB) proposed sweeping amendments expanding the state’s Cap-and-Invest program. Under Cap-and-Invest, refineries have set emissions limits and must buy allowances from the state to exceed said limits.
If signed into law, the amendments would revoke 118 million metric tons in emissions allowances.
In response, Chevron and others operating the state’s few remaining refineries are threatening to close down if Newsom signs new energy regulations into law.
California gas is the most expensive in the nation, routinely running $1-2 per gallon over the national average due to taxes and regulations.
Governor Newsom’s office did not immediately respond to a request for comment.
Great work? Considering how you have destroyed energy affordability in California with NetZero ideology, what do you say when you look in the mirror every morning? pic.twitter.com/AaBwVg6EyB
— California Lowdown (@CAlowdown) March 8, 2026
“The proposed regulation will cripple the survivability of the state’s remaining refineries, which will result in California losing the entire industry to this misguided program,” Chevron wrote Monday in a letter to the governor.
When an X user pointed out that comparable regulations were driving up gasoline prices in California, Newsom’s press account called them a “ding dong”, attributing high costs to “Trump’s war with Iran.”
“California refineries are already among the most expensive refineries to operate in the world,” Marathon Petroleum Corporation noted in their letter to Newsom. Marathon noted the proposed regulations are “forcing refineries to reconsider whether operations in California remain viable.”
Valero, a major oil refinery, recently recorded a $1 billion write-down to shut down its Balencia Refinery in the state.
In response to rising gas prices, Gavin Newsom tweeted, “Great work, @realDonaldTrump.”
Read more at Daily Caller
The Democrats are always blaming others for the problems that they cause. Here in the State of Washington their cap and trade tax has the cost of gasoline 50 cents higher. They could drop the price of gas over night by eliminating that tax but refuse to do so. The Biden administration had a deliberate policy of increasing the cost of fossil fuels in an attempt to make renewables more competitive. There were over 100 new requirements on oil drilling designed to do just that.
It is unmistakable with socialist government. When something goes wrong, it is always someone elses fault. EG: Newsom blaming the Iran war when gas prices in CA have been higher for God only knows how long.
In Australia, we have a similar situation with gas prices. While they have always been high vs US (A$7.42/gallon) we are now looking at A$13.40/gallon and the socialist labour government is also blaming the Iran war. BTW – we have only 30 days supply of fuels in Australia.
As you might expect, there aren’t may cars on our roads these days.
Once again, like CA, successive Australian governments have for years hit oil companies with all kinds of taxes, levies, duties – you name it and the end result here is two refineries remain out of eight. The two remaining refineries are very small and require government support to continue operations. Around 85% of our gas, diesel and Jet A1 are shipped in from Asia.