San Diego City Wire

Senate Minority Leader Brian W. Jones of San Diego has alerted Californians about potential significant increases in gas prices for 2025. According to a study by the Marshall School of Business at the University of Southern California (USC), gas prices may rise by as much as 90 cents per gallon.

Jones expressed his concerns, stating, “I’m concerned Californians will face major sticker shock and be unprepared for the rapid gas price spike in 2025, which could be an additional 90 cents per gallon, thanks to Gavin Newsom’s political agenda to drive up gas prices and force Californians into electric vehicles.” He added that families with two drivers might need to budget an extra $900 for gasoline next year.

The USC study attributes the anticipated increase to several factors, including new regulations from the California Air Resources Board on the Low Carbon Fuel Standard, which could add 65 cents per gallon. Other contributors include Assembly Bill AB2x-1 mandating oil refiners to maintain gasoline reserves and restrict market supply, potentially adding between 4.7 and 27 cents per gallon. The closure of Phillips 66 refinery is also expected to contribute between 8.2 and 14 cents per gallon due to an 8.3% reduction in California's refinery capacity. An automatic rise in California’s gasoline excise tax is expected to add nearly two more cents.

Jones criticized Governor Newsom's policies, saying, “Governor Newsom’s political agenda to raise gas prices is a direct attack on struggling Californians, with devastating consequences for our economy." He announced plans to introduce legislation aimed at repealing the new Low Carbon Fuel Standard regulation responsible for a projected 65-cent hike.

The study suggests that drivers using gasoline-powered vehicles might need additional pre-tax income ranging from $600-$1,000 annually just to match their expenses from the previous year. This report comes amid political challenges for Governor Newsom following his recent purchase of a $9.1 million property in Marin County.

“Newsom is completely out of touch," Jones remarked, referencing Newsom's real estate acquisition while many Californians face financial difficulties. Jones emphasized that Californians require leadership that understands their struggles rather than being governed by someone he described as disconnected from reality.