[I'm sure glad I got out of California 15 years ago before the place hit peak idiocy. And I thought it was bad back then . . . SC]

By Martin Armstrong - May 9, 2025

Oil refinery Valero has opted to close its operations in California due to excessive regulations on energy. Located in the small city of Benicia, the town is expected to lose 400 jobs, which the mayor is calling the exit “a major hit on the city.” Everyone in California is feeling the impact of Newsom’s war on fossil fuels.

Valero said its decision ” follows years of regulatory pressure, significant fines for air quality violations, and a recent lawsuit settlement related to environmental concerns.” “California has been pursuing policies to move away from fossil fuels for really for the past 20 years. And the consequence of that is the regulatory and enforcement environment is the most stringent and difficult of anywhere else in North America,” Valero CEO Lane Riggs told reporters. His company faced $82 million in fines dating back to 2003 for emissions, marking the highest penalty issued in the Bay Area Air District.

Energy company Phillips 66 abandoned its operations in Los Angeles last year, citing long-term instability due to political policy. California’s refining capacity has declined 21% over the past three years, and as a result, gas prices are expected to rise by 75% by 2026 if major intervention is not taken.

California’s gas deficit ranges from . . .

[SNIP]