Part 4/11:
The core issue driving refinery closures in California is the state’s harsh regulatory landscape. Over the years, policies such as stringent environmental standards, low carbon fuel mandates, and complex compliance costs have made operating refineries increasingly unprofitable. Regulations like the Low Carbon Fuel Standard (LCFS), cap-and-trade programs, costly fence-line monitoring systems, and renewable fuel blending mandates have created a burdensome environment for oil refineries.