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Thursday, October 17-October 23, 2024
State enacts law regulating refineries to prevent gas price spikes
VOL. 28,
NO. 193
Huntington Beach officials announce oil spill settlement
By Joe Taglieri
By City News Service
joet@beaconmedianews.com
Cleanup crews remove tar from Cardiff State Beach in San Diego County following the 2021 oil spill off of Huntington Beach in Orange County. | Photo courtesy of the NOAA
Gov. Gavin Newsom signs a law that aims to lessen the chance of gasoline price spikes. | Photo courtesy of the governor's office
I
n another move to regulate the oil industry, California Gov. Gavin Newsom on Monday signed legislation requiring refineries to maintain a minimum supply of fuel and plan ahead for maintenance. According to the governor's office, price spikes at the pump become profit spikes for oil corporations that are "overwhelmingly" the result of refineries failing to backfill supplies when they stop producing gasoline to do maintenance, leading to gasoline shortages. Citing an analysis by the state's Division of Petroleum Market Oversight, Newsom and the State Assembly majority claim if the law
had been in effect last year, consumers in California "could have saved hundreds of millions — if not billions — of dollars at the pump." The special legislative session's final vote counts to approve ABx2-1 in the Assembly were 42-16 with 21 members not voting Monday and the 23-9 in the Senate with eight senators not voting Friday. “Price spikes have cost Californians billions of dollars over the years, and we’re not waiting around for the industry to do the right thing — we’re taking action to prevent these price spikes and save consumers money at the pump," Newsom said in a statement. "Now, the
state has the tools to make sure they backfill supplies and plan ahead for maintenance so there aren’t shortages that drive up prices. I’m grateful to our partners in the Senate and Assembly for acting quickly to push this forward and help deliver relief for Californians.” The Western States Petroleum Association released a prepared statement following the law signing: “Today’s press conference was not about solving California’s real challenges — it was a political performance," WSPA President and CEO Catherine ReheisBoyd said. "The Governor’s See Gas price Page 32
attacks, filled with personal insults toward the press and the industry, only serve to divide, not address the urgent issues we face. “Instead of offering real solutions, the Governor chose to demonize an industry that powers California’s economy and fuels the daily lives of millions," the statement continued." This kind of inflammatory language won’t lower gas prices, fix the energy crisis, or help the state achieve its climate goals. In fact, the administration’s refusal to address the complexities of the industry during legislative hearings — where even
H
untington Beach officials on Monday announced a $5.2 million settlement with Amplify Energy stemming from the 2021 oil spill. The announcement at a news conference, however, illustrated the partisan 4-3 split in the City Council with both sides bickering over the fine points of the deal. "We are grateful to Amplify for working diligently for the city's losses due to the oil spill," City Attorney Michael Gates said at a news conference with Mayor Gracey Van Der Mark and Council members Casey McKeon and Tony Strickland. Councilman Dan Kalmick, who is in the minority on the council with Rhonda Bolton See Oil spill Page 32
and Natalie Moser, said he didn't get word of the news conference until Monday morning. Kalmick said he was told of the settlement over the weekend. Van Der Mark said the deal was struck last week. "It is great news for the city," Van Der Mark said. "We can now move forward and put these conflicts to rest." McKeon slammed the previous City Council for canceling the last day of the Pacific Air Show in 2021 due to the oil spill. He also claimed the "previous council took a pass on solving this problem... After being sworn in we immediately went to work to resolve this conflict. We have successfully resolved this conflict and made the city whole."