Governor Gavin Newsom is facing heavy criticism as California gas prices reach record highs, with the governor dismissing calls for a tax holiday and shifting blame toward federal leadership.
California drivers are paying the highest gas prices in America, and Gov.. Gavin Newsom still refuses to suspend the state gas tax as critics warn Sacramento’s energy policies are pushing the crisis toward a breaking point.. The statewide average for a gallon of gas climbed to $6.16 on Friday, compared to the national average of $4.54, as refinery shutdowns, foreign oil dependence and tensions in the Middle East squeeze California’s already battered fuel supply.. Despite
growing pressure for relief, Newsom dismissed the idea of a gas tax holiday on Friday and instead pointed the finger at President Trump.. “Now, as it relates to the cost of fuels, California hasn’t changed anything as it relates to cost.. Those baseline costs have been static.. But the cost at the pump has not been, for one reason: Donald Trump’s recklessness as it relates to the war in Iran,” Newsom said.. The comments came
after lawmakers, economists and energy officials gathered at a tense state Capitol hearing this week focused on California’s worsening fuel crisis.. Even experts at the hearing acknowledged that California’s punishing fuel taxes, environmental mandates and regulatory costs are the main reasons drivers here pay dramatically more than the rest of the country.. Severin Borenstein, an economist with UC Berkeley Haas, told lawmakers a temporary gas tax suspension would provide immediate relief.“There’s no question it could
help consumers,” Borenstein told KCRA.. He also floated a proposal to adjust fuel taxes so they fall when crude oil prices spike instead of piling even more costs onto drivers.. But Newsom appears unwilling to take accountability.. Download The California Post App, follow us on social, and subscribe to our newsletters “What they’re trying to do is tell you and everybody else — every single day all these high-paid lobbyists and folks that are paid
by them — are telling you somehow it’s someone else’s fault,” Newsom said.. Critics say California’s Cap-and-Invest program alone adds at least 20 cents per gallon to fuel prices while also increasing costs tied to shipping, farming, construction and running businesses statewide.. Meanwhile, California continues racing toward its legally mandated goal of ending reliance on oil and gas by 2045, despite the fact that nearly 90% of registered vehicles in the state still rely on
gasoline.. Republican gubernatorial candidate Steve Hilton pointed to Australia’s recent move to slash its fuel excise tax in half from April to June to ease pressure on drivers.. According to reports, the temporary tax cut is expected to save motorists nearly $13 on a 17-gallon tank of fuel.. “Any decent governor who cared about regular working people would have done this weeks ago,” Hilton told The California Post.. “But Gavin Newsom is an out of
touch elitist climate fanatic whose only interest is taking potshots at President Trump to push his pathetic book and presidential campaign.” At the same time, California’s oil supply outlook is becoming increasingly shaky.. The state now depends heavily on imported crude from the Middle East, Asia and Latin America after years of policies discouraging in-state production.. State data shows nearly one-third of California’s foreign crude supply comes from countries whose oil shipments travel through the
Strait of Hormuz, a key global shipping route now threatened by escalating conflict involving Iran.. Industry executives warn Californians could soon face even worse sticker shock.. “You could see $10 diesels and $8.50 gasoline,” Pat McDonald, CEO of Carbon Energy Corporation, told The Post.. McDonald urged Newsom to use executive powers to temporarily ease regulations and help increase domestic production before the crisis deepens further.. “The Governor can make executive orders to do as much
as he can in the near term, crisis management, but then the state legislature needs to recognize that these policies that they’ve enacted are hurting the citizens of California,” he said.. Pressure on supply has intensified after two California refineries shut down within the past six months while regulators imposed stricter clean-air standards and new rules targeting fuel reserves and oil company profits.. Critics say the result is a state increasingly dependent on unstable foreign
oil markets while local production continues shrinking.. The latest flashpoint came when the Hong Kong-flagged tanker “New Corolla” arrived at the Port of Long Beach carrying 2 million barrels of crude from the Middle East, described as the last shipment to make it through the Strait of Hormuz since war erupted in the region.. California’s oil industry blasted Democratic leadership after the tanker’s arrival, warning the state now faces the challenge of replacing roughly 200,000
barrels of oil per day as Iran restricts shipping through the strait during its conflict with the United States.. Last year, California refineries sourced about 30% of their imported crude from the Persian Gulf, according to state data.. Drivers in California are already paying prices not seen in years.. Meanwhile, President Trump has proposed six new offshore lease sales off the California coast aimed at boosting domestic oil production and reducing dependence on foreign crude.But
Newsom and California Attorney General Rob Bonta have filed lawsuits to block the federal effort, arguing the orders are illegal, even as Californians are being suffocated by some of the steepest fuel prices in the nation.