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Governor Newsom has no solutions how to run California’s economy without crude oil

By Ronald Stein - posted Wednesday, 13 August 2025


California Governor Newsom remains oblivious to economies' demands for a supply chain of the products and transportation fuels currently derived from fossil fuels. He seems unaware that so-called renewables like wind and solar CANNOT make any products or fuels for society, as they can ONLY generate electricity under favorable weather conditions.

Supply chain of PRODUCTS and FUELS that wind and solar CANNOT support

Today, we're a materialistic society. Wind and solar CANNOT make EV's, or any of the products or fuels that get made from fossil fuels that support:

  • Hospitals
  • Airports
  • Militaries
  • Medical equipment
  • Telecommunications
  • Communications systems
  • Space programs
  • Appliances
  • Electronics
  • Sanitation systems
  • Heating and ventilating
  • Transportation - vehicles, rail, ocean, and air
  • Construction - roads and buildings
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Nearly Half the World's Population Relies on Synthetic Fertilizers Made from Fossil Fuels

More importantly, the greatest threat to humanity is running out of crude oil, and the refineries that process that that raw black tar, before we have an alternative to meet the supply chain of all the products and transportation fuels that are derived from oil that are supporting the 8 billion on this planet.

The rapid cessation of fossil fuel use, if followed through before we have an alternative replacement for the supply chain of products and fuels being demanded by society, is not just a policy misstep; it's a death sentence for half the planet.

California transportation FUEL DEMANDS that wind and solar CANNOT support

California transportation fuel demands for airports, ships, cars, and trucks have staggering numbers from the in-state refineries:

  • Jet fuel: With all its 145 airports, including 9 international airports and 41 military airports, the demand is 13 million gallons of aviation fuel daily. Several of those airports have direct pipelines to local refineries. In 2019, California consumed 16.7% of the national total of jet fuel, making it the largest consumer of jet fuel in America.
  • Gasoline: For its 30 million vehicles, California is the second-largest consumer of motor gasoline among the 50 states, consuming 42 million gallons a day of gasoline, just behind Texas.
  • Diesel: Diesel fuel is the second largest transportation fuel used in California, consuming 10 million gallons a day of diesel to support the state's trucking of products from 3 of the busiest shipping ports in America
  • Arizona and Nevada: California refineries supply 45% of Arizona's and 88% of Nevada's transportation fuel demands for their airports, cars, and trucks, so any disruption in California impacts all three states.

California transportation FUEL TAXES that wind and solar CANNOT support

California has almost 400,000 miles of roadwaysused by the State's 30 million vehicles. Those roadways are heavily dependent on road taxes from fuels that contribute more than $8.8 billion annually, for planning, constructing, and maintaining California's publicly funded roadways. The same gas tax revenues also fund many environmental programs and the high-speed rail project. That $8.8 billion revenue source from fuel taxes will diminish in the years ahead as heavier EVs are being mandated in California to replace the lighter internal combustion engine vehicles.

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California has obviously not learned much in the 50 years since the Oil Embargo of 1973, as the following persist:

  • California, the 4th largest economy in the world, was virtually independent of foreign oil imports in 1973, but due to its relentless regulations to reduce in-state oil production the State now imports more than 70% of its crude oil demand to run the States' 9 International airports, 41 Military airports, and 3 of the largest shipping ports in America.

Economically, refiners face a shrinking return on investment. With the California 2035 ban on new internal combustion vehicles looming and EV adoption slowly rising, in-state refiners have little long-term incentive to invest in expanding production. In fact, many are choosing to exit the market or repurpose facilities for renewable fuels rather than double down on gasoline. As a result, the remaining refiners are unlikely or unable to ramp up production to backfill lost supply, leaving California more reliant on imported, California-compliant gasoline from out-of-state or foreign sources, which is slower and more expensive to procure.

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About the Author

Ronald Stein is co-author of the Pulitzer Prize nominated book Clean Energy Exploitations. He is a policy advisor on energy literacy for the Heartland Institute, and the Committee for a Constructive Tomorrow, and a national TV commentator on energy & infrastructure with Rick Amato.

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Creative Commons LicenseThis work is licensed under a Creative Commons License.

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