‘Green’ Regulations Could Be the End of the Road for California Drivers

Originally published by the California Globe

Remember the California dream? Golden sunshine, endless opportunity, and a car to take you there. For many, that dream now sputters to a halt at the gas station, with prices that feel like a punch to the gut. We’re told it’s a complex global issue and that greedy oil companies are at fault. Meanwhile, across most of the country the average gasoline prices have dropped to the lowest levels in roughly four years—suggesting that California’s far higher prices are self-inflicted. Indeed, a significant part of this pain is homegrown, a direct result of state policies like the Low Carbon Fuel Standard (LCFS). And with recently implemented new rules, the already crushing burden on California families and businesses could send prices soaring towards an unthinkable eight dollars per gallon. This isn’t just about fuel; it’s about our ability to live and thrive.

At its core, the LCFS forces fuel producers to reduce the “carbon intensity” of their products or buy credits from those who do. If their products create “too much” carbon, they must buy “credits” from producers of lower-carbon alternatives. It sounds technical, but the outcome is simple: these costs are passed directly to the consumer every time they fill their tank. While government estimates suggest the LCFS currently adds around 10 cents per gallon, independent projections for the future are far more alarming. Some analyses, such as from the University of Pennsylvania, project the new LCFS rule could add up to $1.50 in additional cost per gallon of gas within the next 10 years. This isn’t just a line item; it’s a direct hit on family budgets, small businesses, and our state’s economic vitality, all in the name of a top-down mandate.

The worst part is that the LCFS ruling will come as a one-two punch. On July 1, California drivers faced yet another policy squeeze. That’s when the California Air Resources Board’s (CARB) more stringent LCFS mandates officially began — and on the same day, the state’s excise tax on gasoline jumped from 59.6¢ to 61.2¢ per gallon. California families, brace yourselves.

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