State Rep. James Gallagher, District 3 | Official U.S. House headshot
State Rep. James Gallagher, District 3 | Official U.S. House headshot
SACRAMENTO – Despite repeated warnings from Republicans and his own administration that Governor Gavin Newsom’s regulations will drive up gas prices, the governor is proceeding with a special session to advance another proposal through the Legislature.
Newsom continues to push forward on his gas storage mandate while Californians await clarity on the cost implications of other regulations he has proposed. It has been months since Republican lawmakers requested transparency from the Newsom administration regarding potential price increases resulting from updates to the Cap-And-Trade program and the Low Carbon Fuel Standard, but no response has been provided.
To underscore what they perceive as delays by Newsom's administration, Assembly Republicans have launched a timer to track how long it takes for these costs to be disclosed.
“California drivers deal with some of the highest costs in the nation – and Republicans, economists, and the Energy Commission have all warned that Newsom’s schemes will make things even worse,” said Assembly Republican Leader James Gallagher (Yuba City). “If he really wanted to lower gas prices for Californians, Newsom would stop with the distractions and start with suspending the gas tax and cutting the expensive mandates.”
A 2023 report predicted that an update to Newsom’s Low Carbon Fuel Standard could increase gas prices by more than 50 cents per gallon. Although his administration has since revised this figure, they have not provided detailed information on its cost. Additionally, despite previously offering estimates, they now claim they cannot predict how changes to the Cap-And-Trade program will affect pump prices.
The California Energy Commission also reported that Newsom’s gas storage mandate could “create shortages in downstream markets” and “increase average prices,” but did not specify how significant these price hikes might be.
Californians are calling for transparent answers from their Governor and relief at fuel stations rather than legislative proposals perceived as distractions from high taxes and over-regulation.
The timer tracking this issue can be viewed at ASMRC.org. Should there be any disclosures from Newsom's administration regarding these costs, updates will follow accordingly.