FOR IMMEDIATE RELEASE Oct. 1, 2024
Contact: Lana Cohen, Union of Concerned Scientists, 617 - 334 -7343; lcohen@ucsusa.org
California Plan to Prevent Gasoline Price Spikes During Refinery Shutdowns Passes Assembly Statement by Daniel Barad, Union of Concerned Scientists
SACRAMENTO, Calif. (Oct. 1, 2024) — Today the California State Assembly passed a bill protecting Californians from sudden increases in gas prices. The Gov. Gavin Newsom-proposed bill requires refiners to store enough gasoline to protect consumers from price spikes at the pump.
The bill, which would make California the first state in the nation to impose minimum inventory requirements on oil refiners when they go offline for maintenance, was approved last week by the California Assembly Petroleum and Gasoline Supply Committee. The Senate is expected to take up the bill in the following weeks.
The following statement is by Daniel Barad, western states policy manager at the Union of Concerned Scientists:
“The bill fixes an issue with oil supply and demand. When refiners don’t set aside adequate fuel in advance of shutdowns, gas prices spike for Californians. This bill will help avoid those spikes by requiring refiners to store a minimum amount of fuel during shutdowns.”
“I commend Gov. Newsom for fighting back against the oil industry's efforts to manipulate the market and harm consumers with high gas prices. The governor understands California’s gasoline refining sector is becoming highly concentrated and is leading the effort to ensure oil companies don’t abuse their market power by holding them accountable for their management of refinery shutdowns.”
“Establishing requirements for minimum fuel storage is a critical step in planning for a safe and equitable petroleum phaseout as gas consumption declines in California and the state moves toward zero-emission transportation.”
Additional Resources: Fact Sheet: A Petroleum Phaseout Plan for California
Blogs: California Needs a Petroleum Phaseout Plan
The Union of Concerned Scientists puts rigorous, independent science to work to solve our planet’s most pressing problems. Joining with people across the country, we combine technical analysis and effective advocacy to create innovative, practical solutions for a healthy, safe, and sustainable future. For more information, go to www.ucsusa.org.