Part 2/11:
The state’s own policies are directly contributing to the decline of its refining capacity. Valero Energy announced it would cease operations at the Benicia refinery, which processes approximately 145,000 barrels of oil daily. Despite efforts by California officials to keep the plant open—such as potential state-funded maintenance support—these talks have largely gone nowhere. The reason is clear: California’s leadership has made it increasingly difficult for refineries to operate profitably, driven by stringent regulations, high taxes, and a pronounced promotion of renewable energy over traditional fossil fuels.