The Western States Petroleum Association (WSPA) today released the following statement from President and CEO Catherine Reheis-Boyd on Governor Newsom’s Refinery Fuel Supply Mandate.

“There are bad regulations, and then there are regulations so detrimental that industry experts, the California Energy Commission, and anyone with a basic understanding of economics can clearly see the harm they will cause consumers. Governor Newsom’s refinery supply mandate will create artificial shortages of fuel in California, Arizona and Nevada by forcing refiners to withhold fuels from the market. Lawmakers who vote for this mandate will be voting to increase gas costs for their constituents.

“This literal last-minute mandate is the latest in a series of actions by this administration to limit fuel supplies to consumers. California already faces a de facto production ban, forcing more than 75 percent of the crude our state uses to be shipped in from overseas. Additionally, upcoming ‘at berth’ regulations, set to take effect in just a few months, may exacerbate this problem by restricting shipping and causing significant declines in the supply of crude oil and other transportation fuel products needed to meet the state’s energy demands. WSPA has repeatedly warned the administration and lawmakers about the cumulative effects of these supply-limiting policies, but to no avail.

“It’s noteworthy that legislators are considering such radical energy policies at a time when the nation is closely examining how the ‘California model’ will impact their families and pocketbooks.”