The Western States Petroleum Association (WSPA) today released the following statement from President and CEO Catherine Reheis-Boyd in advance of ABX2-1 Assembly Floor Session.

“As California’s special session unfolds, the notion of mandating refineries to store fuel supplies may seem like a simple fix to price spikes, but the reality is far more complex. The math behind this proposal is incomplete and fails to address key operational questions. For example, how many days of supply will refiners be forced to withhold from the market? What will the storage costs be? And crucially, what happens if a price spike never materializes—are Californians then stuck paying more year-round for no reason?

” This theory of cost savings is just that—a theory. Without a deep understanding of the complexities of refinery operations, policymakers are gambling with consumers’ wallets. We, as an industry, are ready to roll up our sleeves and address the root causes of California’s volatile energy market, which has been shaped by decades of policies. We call on legislators to do the same. Californians deserve solutions grounded in reality, not rushed ideas pushed through during a special session. This bill lacks the time, detail, and diligence required to truly address the problem.

“We must take the time to find a better way forward—one that balances the need for affordable energy with the complexities of our energy infrastructure, rather than relying on untested economic theories that put consumers at risk.”