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Energy

LA Refinery Closures & Gas Price Spike

The closure of the Phillips 66 Los Angeles refinery by end of 2025 and Valero's Benicia refinery in April 2026 are projected to cut California's refining capacity by nearly 20%. Analysts warn that LA-area gas prices could rise to $7–$8 per gallon, raising bipartisan concerns about energy affordability and supply stability. The issue has become a political flashpoint ahead of the 2026 and potential 2028 elections.

How should California and Los Angeles respond to major refinery closures threatening higher gas prices?

How important is this to you?

Sources

State Affairs Pro analysts — https://pro.stateaffairs.com/ca/politics/california-political-issues-2026
The closure of Valero's Benicia refinery in April 2026 and the permanent shutdown of Phillips 66's Los Angeles refinery by the end of 2025 are projected to cut California's refining capacity by nearly 20%... Some analysts believe that California gas prices could rise to between $7 and $8 a gallon.
Positions on this issue  ·  liberal → conservative
  1. Accelerate the transition to electric vehicles and clean energy so Californians are no longer dependent on gasoline.
  2. Provide gas price relief subsidies to low-income drivers while fast-tracking clean energy alternatives.
  3. Investigate oil company pricing practices and consider a windfall profits tax to protect consumers.
  4. Pause new environmental regulations on refineries to stabilize supply and keep gas prices manageable.
  5. Reverse refinery closure policies and incentivize companies to maintain in-state refining capacity.

LA refinery shutdown and gas prices

The permanent shutdown of Phillips 66’s Los Angeles refinery by the end of 2025, alongside Valero’s Benicia closure, is projected to cut California refining capacity by nearly 20%. Analysts warn this could push gasoline toward $7–8 per gallon, creating affordability pressure and bipartisan concern over energy supply stability that directly affects Los Angeles County drivers and the local economy.

How should California and Los Angeles County respond to the Phillips 66 Los Angeles refinery shutdown and projected fuel price spikes?

How important is this to you?

Sources

https://prostateaffairs.com/ca/politics/california-political-issues-2026
The closure of Valero’s Benicia refinery in April 2026 and the permanent shutdown of Phillips 66’s Los Angeles refinery by the end of 2025 are projected to cut California’s refining capacity by nearly 20%. The expected disruption has triggered bipartisan alarm over fuel price spikes and energy supply instability. Some analysts believe that California gas prices could rise to between $7 and $8 a gallon
Positions on this issue  ·  liberal → conservative
  1. Accelerate fossil-fuel phaseout and invest only in clean energy even if near-term gas prices rise sharply
  2. Allow the shutdown while expanding transit and EV subsidies to offset higher fuel costs for residents
  3. Pursue a balanced approach: limited temporary refining support plus faster clean-energy buildout
  4. Use state tools to keep more refining capacity online and prioritize price stability for drivers
  5. Roll back environmental rules that discourage refining and prioritize cheap, reliable gasoline supply