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Congressman Valadao Opposes Governor Newsom’s Misguided Refinery Mandate

Today, Congressman David G. Valadao (CA-22) joined Congressman Vince Fong (CA-20) in a letter to Governor Newsom urging him to reconsider his proposal to force refineries to withhold supply from the market. This proposal threatens to shutter California refineries, putting gasoline availability at risk for California, Nevada, and Arizona residents.
 WASHINGTON – Today, Congressman David G. Valadao (CA-22) joined Congressman Vince Fong (CA-20) in a letter to Governor Newsom urging him to reconsider his proposal to force refineries to withhold supply from the market. This proposal threatens to shutter California refineries, putting gasoline availability at risk for California, Nevada, and Arizona residents. 

“Governor Newsom’s misguided refinery supply mandate would once again raise gas prices for Central Valley families,” said Congressman Valadao. “From consistently raising the gas tax to restricting permits, this administration has repeatedly demonstrated that they care more about appeasing the environmental lobby than helping middle-class Californians struggling with rising energy prices. I will continue to urge the Governor to abandon his regulatory assault on oil and gas production in California.”

“Governor Newsom continues to show his lack of understanding in the area of energy production,” said Congressman Fong. “This unworkable mandate will not only affect Californians, but also our neighboring states like Arizona and Nevada who rely on our gasoline supply. Newsom is intentionally increasing gas prices when Californians are already struggling to afford to live and work in the state. For Californians and the rest of the country, Governor Newsom must stop this irresponsible refinery mandate.”

In their letter to Governor Newsom, the lawmakers highlighted that similar attempts in northeastern states were proven to be detrimental to markets and prices:

“A similar stockpile effort attempted in the northeastern states failed miserably, proving that your proposal will have detrimental effects on gasoline prices across the states that depend on California’s gasoline. While you claim that withholding supply will lower gas prices, your own Energy Commission recently stated that this will likely artificially constrict gasoline supply and increase prices,” the lawmakers wrote.

Read the full text of the letter here