Valladares, Senate Republicans call on Newsom to address refinery closures

News release

Sen. Suzette Martinez Valladares, R-Acton, joined her Republican colleagues in the California State Senate last week in sending a letter urging Gov. Gavin Newsom to immediately convene a special session of the Legislature to address the fallout from the impending closure of Valero’s Benicia refinery, scheduled for April.  

This marks the second major refinery shutdown in California in the past six months, said a news release from Valladares’ office. 

“Bad policy has consequences,” Valladares, whose district includes the Santa Clarita Valley, said in the release. “California’s extreme regulatory environment is forcing refineries to shut down, reducing fuel supply and driving gas prices higher. The governor and legislative Democrats talk about affordability, but they refuse to acknowledge that it is their own policies that are making everyday life more expensive for working families.” 

Valero’s Benicia refinery is one of the largest in Northern California, accounting for nearly 10% of the state’s total refining capacity. Combined with the recently shuttered Phillips 66 refinery in Los Angeles, these two facilities produced roughly 20% of California’s gasoline supply.  

Their closures will further tighten fuel markets, disrupt supply chains, and push prices even higher as the state becomes increasingly reliant on imported fuel and alternative sources to meet demand, Valladares’ release said. 

“There’s a reason gas prices continue to fall across the country while Californians keep paying more,” Valladares added. “If the governor fails to act, Californians could soon be facing $8-per-gallon gas. That cost won’t stop at the pump — it will ripple through the economy, raising the price of food, goods and services.” 

Phillips 66 cited long-term sustainability concerns and unfavorable market dynamics as reasons for closing its Los Angeles refinery. Valero has pointed to mounting regulatory pressures and an increasingly challenging operating environment.  

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