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Republicans urge air board to delay vote on new policies that could lead to gasoline price hikes

Hand feeds a silver Discover credit card into a gasoline pump.
New clean-air regulations could raise gasoline prices half a dollar or more.
(Rogelio V. Solis / Associated Press)
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Republican lawmakers are urging California environmental regulators to delay action on new policies that could push gasoline prices up by nearly 50 cents a gallon.

The California Air Resources Board is scheduled to vote Nov. 8 on amendments to a longstanding carbon-market program that penalizes high-carbon fuel producers, while offering credits to providers of lower-carbon alternatives.

The new policies would bring carbon emissions down faster, but at greater cost to refineries, most of which is passed through to retail gasoline buyers.

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The scheduled vote in November would not directly hike gasoline prices. But the Air Resources Board itself last year estimated the measures could lead to a hike in prices at the pump of up to 47 cents a gallon. The air board’s staff now says that estimate is out of date, but that it has no plans to release a new figure.

Republican state legislators on Tuesday sent a letter to CARB’s chair urging the board to delay the Nov. 8 vote until it addresses in detail the potential cost to gasoline buyers.

“If CARB wants the public, through their elected representatives, to be supportive of new initiatives to protect the environment, CARB should be forthcoming with all information — so the public can consider costs and benefits,” the letter said. It deemed “absurd” CARB’s refusal to address in detail large increases in at-the-pump gasoline prices.

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As Gov. Gavin Newsom urges new controls on state oil refineries, California air regulators are considering new rules that could increase gas prices.

Oct. 10, 2024

The 47-cent figure that CARB came up with last year was an “upper bound” pass-through estimate. Some forecasters think it will be higher. Climate analyst Danny Cullenward pegs the cost at 65 cents per gallon, and says that figure will rise as state regulations grow more stringent.

CARB drew consumer opposition when the numbers came out last fall. Its executive officer, Steven Cliff, said recently CARB has no plans to revisit the issue.

Republicans who signed Tuesday’s letter said cutting greenhouse gases is important, but the economic impact on gasoline car drivers must be considered.

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“Right now Californians are paying $1.50 more per gallon than the average across the other continental states,” said state Sen. Rosilicie Ochoa Bogh (R-Yucaipa). “This aggressive pursuit of green environmental goals will increase inflation and fall on the back of many Californians, especially those of lower economic means.”

CARB has said that if gasoline prices are folded into the positive effects of its policies on jobs, health and reduction in global warming, the net result will be positive for Californians.

But gasoline prices directly affect consumers, said Janet Nguyen (R-Santa Ana). “It’ll be unaffordable,” she said. “People need their cars to go to work, go to school, go to the grocery store, and go to the doctor’s office.”

Global warming “should be considered, but we should be transparent about what the cost is,” she said. “Right now, they’re operating in secret.”

Even Gov. Gavin Newsom has come out in favor of transparency, though he didn’t aim his comments directly at CARB. Asked about regulatory costs at a news conference last week after signing a bill intended to prevent gasoline price spikes, he said, “I’ve been very supportive of being as transparent as possible with taxpayers.”

Republicans are a minority in the statehouse, but Nguyen said this shouldn’t be a partisan issue.

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“We’ve been successful in the past forcing transparency,” she said. “That’s our job. We’re going to continue to force them to be transparent.”

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