California Advances Gas Price Control Bills Despite Industry Pushback

Legislation to require fuel reserves moves forward as lawmakers aim to mitigate seasonal price spikes.

Gov. Gavin Newsom's proposal to mandate fuel reserves has cleared the Assembly petroleum committee and heads to a floor vote next week.
Economists support the plan, citing potential savings of up to $2 billion for California drivers, while refiners argue it could increase costs and require new storage infrastructure.
The plan aims to smooth out price spikes caused by seasonal refinery maintenance, which has historically led to significant price increases at the pump.
A second bill to study increasing ethanol in fuel blends was also advanced, while a GOP proposal to exempt gasoline from the cap-and-trade program was rejected.
Experts warn that while the fuel reserve mandate could reduce price spikes, it won't address the broader issue of California's higher gas prices compared to the national average.