LOS
ANGELES, Aug. 15, 2024 /PRNewswire/ -- A plan
announced by Governor Newsom today for end-of-the-session
legislation requiring refiners to keep a minimum number of days of
gasoline in inventory will help prevent future gasoline price
spikes, according to Consumer Watchdog.
"The Energy Commission has determined that 15 days of gasoline
inventory is the sweet spot for preventing gasoline price spikes,"
said Jamie Court, president of
Consumer Watchdog. "We shouldn't have to tell oil refiners to
maintain adequate inventories, but recent price spikes have been
sparked by inventories dipping under 15 days. This is a necessary
and landmark reform to moderate California gasoline price spikes and protect
against refiner manipulation."
The gap between gasoline prices in California and the
United States has remained under $1 for five straight weeks, showing the power of
previous California reforms to oil
refiner accountability made under SBX1 2 more than a year ago. The
weekly gap has only been less than $1
only 11 times during the last three years.
California environmental fees
and taxes add about 70 cents more per
gallon to gasoline from the average US state. The average
price gap between the US and California over the last three years, however,
has been $1.27 per gallon.
The last dip under $1 at the pump
happened at the beginning of the new year in 2023 as the
legislature was about to convene a special session to enact SBx1
2.
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SOURCE Consumer Watchdog