California Gas Prices to Soar: Professor Mische Warns of Imminent Crisis

Last week, the Globe reported that California gas prices could escalate by 75% to $8.43 per gallon in 2026 due to the pending shutdowns of two major in-state refineries, according to USC Professor Michael Mische.

“California can ill afford the loss of one refinery, let alone two,” says Professor Mische in a new report warning of an impending gas crisis this summer.

The State's Energy Future

In 1982, California satisfied 62% of its petroleum needs from in-state oil producers. Since 1990, California’s imports of petroleum from non-U.S. producers have increased by a staggering 713%. While California was becoming more dependent on foreign sources, the overall U.S. became less dependent.

For his warning, Professor Mische was rewarded with a very nasty smear from Governor Gavin Newsom accusing the professor of being bankrolled by Saudi Arabia:

“Allegations have been leveled as to being an ‘agent’ of, working for or on behalf of, and being ‘bankrolled’ by Saudi Arabia. Nothing could be further from the truth, and the allegations are patently inaccurate and without substance and merit.”

— Professor Michael Mische

The Consequences of Shutting Down the Oil and Gas Industry

While Newsom prioritizes climate change schemes at the expense of the oil and gas industry, a timely report by the Los Angeles Economic Development Corporation (LAEDC) in March revealed the significant role oil and gas plays in California’s economy.

• The oil and gas industry supports 536,770 jobs, generates $53 billion in labor income, and contributes $166 billion of economic activity to California’s Gross State Product (GSP).
• It also generates $47.9 billion in state and local taxes and $16.3 billion in federal taxes.

The Price Tag for Newsom's Policies

In November, Professor Mische published an op-ed in the Globe, warning that “a significant increase in the retail price of gasoline that Californians will pay at the pump is expected for 2025. The projected increase could drive California’s retail gasoline prices to exceed the national average by as much as 62% by late 2025.”

The Governor and his minions should thank Professor Michael Mische for his expertise, and maybe instead draw on Econ 101 basics from him.

Prompt: Read the full article here.