SACRAMENTO – Just days after the announcement by Phillips 66 that it would shut down its Los Angeles area refinery, Valero’s CEO told investors the company was considering shutting down its two California facilities in response to Newsom’s attacks on the energy industry.
Valero’s two refineries, located in Benicia and Wilmington, account for a combined 13.5% of California’s refining capacity. If those facilities were to close along with the Phillips 66 refinery, that would reduce California’s fuel-production capacity by more than one-fifth.
“Gavin Newsom bragged about trying to end gasoline production – and this is the result: higher gas prices and fewer jobs,” said Assemblyman Joe Patterson (R-Rocklin). “As more and more refineries decide it’s just not worth it to operate in California, families and workers who depend on cars are paying the price.”
Less than a month ago, Newsom’s gas price czar Tai Milder dismissed concerns about refinery closures, telling the Legislature “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.”
Thanks to Newsom’s high taxes and expensive mandates, Californians are paying the highest gas prices in the country. As the governor insists he is deeply concerned about gas prices, his administration is set to approve a policy that could increase gas prices an additional 65 cents per gallon.
