The office of California Gov. Gavin Newsom on May 7 criticized an analysis by a University of Southern California (USC) professor on the potential impact of refinery shutdowns and state policies on gas prices.
Michael Mische, a professor at USC’s Marshall School of Business, had estimated regular gasoline prices could rise from an average of $4.82 in April 2025 to as high as $8.44 a gallon by the end of next year in a report released May 5. The report sparked concerns over the future affordability of gas in a state where prices are already among the highest in the nation.
Two Phillips 66 refineries in Los Angeles are set to close by the end of this year, and a Valero refinery in the San Francisco Bay area will shutter or restructure by April 2026, according to the companies. These and other factors could result in a potential 21 percent drop in refining capacity from 2023 to April 2026, said Mische….