Part 4/12:
Political and Regulatory Factors Behind Supply Constraints
Many experts attribute California’s ongoing refinery woes to the state's strict environmental regulations and political climate. Over the past decade, the number of operational refineries has sharply declined—from around 40 to just a handful—due to environmental mandates, permitting challenges, and regulatory costs. Governor Gavin Newsom and previous administrations have actively pursued policies that discourage large oil operations, blaming them for pollution and environmental degradation.