Part 4/14:
Alarmingly, California is experiencing a wave of refinery closures. Notably, Philip 66’s Southern California refinery in the South Bay and Valero’s Northern California refinery in Benicia announced plans to shut down within a year. These closures threaten to eliminate 20% of California’s gasoline supply, which compounds already high prices and strains the supply chain for consumers and businesses alike.
Chevron’s leadership has chosen to stay temporarily but warns that without “real sustainable, durable changes,” their presence—and that of other companies—may become untenable. The looming shutdowns highlight California’s difficult environment for energy producers, driven by restrictive regulations, permitting delays, and rising costs.