The closure of California’s Valero oil refinery raises critical questions about energy policy and national security as the state’s aggressive environmental regulations come under scrutiny.
On April 16, Valero Energy Corporation announced plans to shutter its Benicia oil refinery by April 2026, a facility crucial to supplying fuel for the nearby Travis Air Force Base.
This refinery processes up to 170,000 barrels of crude oil each day, thereby providing a significant share of the gasoline, diesel, jet fuel, and asphalt used in California—approximately 12% of the state’s total oil consumption.
The decision reflects an increasingly challenging regulatory environment in California, notorious for its stringent anti-fossil fuel policies.
Governor Gavin Newsom’s administration has enacted numerous measures aimed at reducing fossil fuel use, most notably a 2035 ban on gas-powered car sales, which has deterred investment in new refineries while pushing existing operations to the brink of capacity.
These restrictions have rendered California an “energy island,” leading to soaring gasoline prices that already rank among the highest in the nation.
As a direct consequence of this closure, the notion that California's energy policies could significantly impact national security becomes apparent.
Travis Air Force Base, a vital military installation, relies exclusively on Valero’s Benicia refinery for its jet fuel supply through a direct pipeline.
Without this reliable source, the potential disruption of fuel supplies raises serious concerns for the Defense Department and the operational readiness of the Air Force.
While Governor Newsom has attempted to blame gas price surges on "price gouging" by refiners, evidence contradicts this narrative.
In fact, state investigations have found no wrongdoing on the part of these companies, even as Newsom continues to impose additional regulations that risk further escalating costs.
The Valero closure is just the latest in a series of refinery shutdowns in California, as Phillips 66 and Chevron act on their own struggles with high taxes and hefty regulations, choosing instead to relocate their operations to more business-friendly states like Texas.
With gasoline prices trending upward and critical infrastructure on the verge of collapse, the warnings from industry executives and public officials appear to be ringing true.
The Biden administration, already criticized for its energy policies, may find itself at a crossroads with voters increasingly concerned about rising prices and fuel availability.
As the energy crisis deepens, it is essential to consider whether swapping out responsible energy production for punitive regulations truly serves the interests of Californians or the nation as a whole.
With the 2024 elections approaching, the canary in the coal mine is clear: policies aimed at restricting American energy independence threaten not only local economies but also national security.
It's time for real discussions on energy policy that prioritize American resources and the well-being of all citizens rather than ideology.
Sources:
legalinsurrection.comharbingersdaily.comgatestoneinstitute.org