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Selected tag(s): Petroleum Reduction

Cutting 50 Percent from California’s Petroleum Consumption can Lower Fuel Prices and Price Volatility While Keeping the Economy Strong

Keep reading for an overview or dig right into a new Environmental Defense Fund (EDF) policy brief on transportation fuel prices and the proposed 50 percent fossil fuel reduction for more details.

rp_Tim-OConnor-Nov-2014-214x300-214x300-214x300.jpgIf you are a movie buff, you might remember Groundhog Day in which Bill Murray’s character had to relive the same day over and over again. Well, if you live in California, you probably feel like the existing gasoline and diesel system is on the same style of hamster wheel (i.e. roller coaster prices, Californians paying more than the rest of the country, and the petroleum industry spending the money you pay at the pump to lobby against any change).

As the 2015 legislative season comes to a close, a new script can be written for the state’s transportation fuel system in the form of SB 350 (De León). This effort would reduce petroleum use by 50 percent and in the process could reduce overall gas prices in California, reduce seasonal and annual volatility, and inject healthy competition into fuel markets that retain and create jobs across the state.

Understanding how SB 350 can help fuel consumers across California is actually pretty simple. Since the vast amount of California’s fuel is sold by a limited number of providers and drivers primarily rely on a single type of specialized fuel (CARB reformulated gasoline) – there is basically no competition in the market or choices available to consumers. Therefore, decisions by fuel providers to fix refineries or upgrade pipelines have impacts that directly affect the price Californians see at the pump, as well as how much profit or loss those same fuel providers experience. With significant profit margins and a massive fuel consumption rate, it’s no wonder the petroleum industry is trying to retain the status quo where they can single handedly inflate gas prices and profits. Read More »

Posted in Climate, General, Low Carbon Fuel Standard, Transportation / Also tagged | Read 5 Responses

Within Reach: California’s Road to 50 Percent Petroleum Use Reduction Explained in Four Easy Concepts

rp_Tim-OConnor-Nov-2014-214x300-214x300.jpgCutting gas and diesel use in California has been a focus of Sacramento policy makers for years. After all, fuel combustion chokes our state with exhaust, releases a massive amount of global warming pollution, and undermines our economic security. And, at nearly 20 billion gallons of total use per year costing drivers over $50 billion a year – with much of the money flowing directly out of the state – it is no small challenge.

Despite many in-state efforts to cut gas and diesel use over the past decade, population and economic growth have erased many of the fuel use reductions achieved. This year, through dedication by Governor Brown and the legislature to fight climate change and make California stronger, there are promising solutions on the horizon. The solution making the biggest splash is SB 350 (De León) – a bill currently before the legislature – proposing (among other things) a statewide goal of 50 percent petroleum use reduction by the year 2030. With this ambitious goal, California can and will make real progress towards meeting its transportation needs using less oil for the years to come.

Understanding how California can meet a 50 percent petroleum use reduction goal by 2030, and why this goal is good for the state, hinges on four key concepts (explained in more detail here). Read More »

Posted in Climate, General, Low Carbon Fuel Standard, Natural Gas, Politics, Transportation / Also tagged | Read 3 Responses