In an effort to maintain his relevance, California Governor Gavin Newsom is having a minor tantrum with the legislature this week – threatening to call a special session if his proposal to further regulate California’s oil and gas industry is not passed. Industry analysts say that the suggestionwhich would force refineries to “maintain a minimum fuel reserve to avoid supply shortages,” would lead to higher prices for motorists in California, Arizona and Nevada.
This moronic proposal comes from Newsom’s California Energy Commission (CEC), which was created in 2023 after Newsom called a special session in 2022 demanding that lawmakers “do something” to prevent alleged price gouging by the oil industry. The commission’s members are political appointees, but its staff are not. And according to political consultant Rob Stutzman, CEC staff themselves believe this proposal will raise prices, not lower them.
The governor’s office should be asked why it refuses to put this vital idea through the entire legislative process? The “watchdog” is a political candidate. CEC staff say this idea would deprive consumers of gas and could lead to higher gas prices in the long run.
— Rob Stutzman 🇺🇸🇺🇦🇮🇱 (@RobStutzman) 28 August 2024
Side note: Many will say, “California, that’s what you voted for,” but beware – President Kamala Harris, if elected, would undoubtedly apply this exact method to crack down on “price gouging.” So it’s in the interest of all Americans who want to feed their families to know what’s going on here.
Here is Newsom’s propaganda sheet on the subject:
Catherine Reheis-Boyd, CEO of the Western States Petroleum Association said Tuesday of Newsom’s proposal, which was only presented on August 15:
“There are bad regulations, and then there are regulations so harmful that industry experts, the California Energy Commission, and anyone with a basic understanding of economics can clearly see the harm they will do to consumers. Governor Newsom’s refinery supply rule will create artificial fuel shortages in California, Arizona, and Nevada by forcing refineries to withhold fuels from the market. Lawmakers who vote for this rule are voting for higher gasoline prices for their constituents.
“This mandate, enacted literally at the last minute, is the latest in a series of actions by this administration to restrict fuel supplies to consumers. California already faces a de facto production ban that requires more than 75 percent of the crude oil our state consumes to be imported from abroad. In addition, the impending ‘berthing’ regulations that take effect in a few months could exacerbate this problem by restricting transportation and causing significant declines in the supply of crude oil and other fuels needed to meet the state’s energy needs. WSPA has repeatedly warned the administration and lawmakers about the cumulative impact of these supply-constraining actions, but to no avail.
“It is remarkable that lawmakers are considering such radical energy policies at a time when the nation is closely examining the impact the ‘California model’ will have on their families and wallets.”
Back to Newsom’s blackmail tactics. There are only four days left in this year’s legislative session, and a deal on this bill is not imminent, so Newsom is freaking out a little bit. KCRA’s Ashley Zavala reported:
According to sources, the request for a special session of Parliament is facing resistance from some Democratic lawmakers, KCRA 3 was told.
According to the sources, the governor has been trying to get lawmakers to include novel language in a bill that would address gas prices through novel oil storage regulations. The idea is facing resistance from some lawmakers who say there hasn’t been enough time to review the proposal. Lawmakers still have days to go through hundreds of other proposed bills.
Sources in the Assembly said Democratic members were mostly open to the idea of devoting more time and attention to the governor’s proposals. Sources in the state Senate said members of the party were less enthusiastic, with some rejecting the idea of returning to Sacramento in the fall.
Well, of course. They have to be re-elected, and some of them are running for higher office.
Republicans in Sacramento are also fighting back. Asm. Bill Essayli (R-Riverside) called Newsom’s actions what they are:
I’m pretty sure we call that blackmail. What if both demands aren’t met? Then get out of here. https://t.co/iYSVLg3SSb
— Bill Essayli (@billessayli) 28 August 2024
And Republican Democratic Party leader James Gallagher upped the ante:
What’s in it for this guy? He should pass my bill quickly and without transparency or I’ll call a special session. Cool. I’m ready to call his bluff. @GavinNewsom
My first bill in the special session will be to remove fuels from the emissions trading system and reduce gasoline prices by 0.50 cents… https://t.co/De7rILhz4Z
— James Gallagher (@J_GallagherAD3) 28 August 2024
Gallagher outlined three bills he would introduce in this special session – bills that would actually lower oil prices.
What’s in it for this guy? He should pass my bill quickly and without transparency or I’ll call a special session. Cool. I’m ready to call his bluff. Call it, Gavin Newsom.
My first bill in the special session will be to remove fuels from the emissions trading system and immediately reduce gasoline prices by .50 cents.
My second concern is the CEQA rationalization of pipelines and refinery storage so that we are no longer an energy island.
And my third concern is the repeal of his stupid price gouging law, which has done literally nothing to lower gasoline prices.
We’re with Gallagher. Go ahead and please us, Gavin.
