Politics
Another refinery shuts down in California. What happens to gas prices?
California’s attempt to manage a smooth transition away from gasoline just got roughed up with this week’s decision by Phillips 66 to shutter its refinery in Wilmington next year, wiping out more than 8% of the state’s crude oil processing capacity.
The closure is likely to increase California’s already high prices at the gas pump, given that much of the replacement gasoline will be shipped in by ocean vessel, analysts say.
The price issue will be “most worrisome if we have some kind of disruption in the market” and the Phillips refinery’s not there to help with resupply, said Severin Borenstein, faculty director at UC Berkeley’s Energy Institute.
The planned shutdown, announced by Phillips 66 on Wednesday, came just days after Gov. Gavin Newsom signed a bill that could force the state’s refineries to store extra gasoline, a move intended to minimize price spikes, such as those that occurred in late 2022 and 2023.
A Phillips 66 spokesman said the decision is not related to that bill, but in a press release the company called “the long term sustainability” of the refinery “uncertain.” He told The Times that “the refinery had lower profitability compared to other assets in our portfolio.”
State Sen. Steve Bradford (D-Gardena), who represents the Wilmington-area district where the refinery is located, sees the planned closure as the culmination of “a death of 1,000 cuts” from California energy policy “that led us to where Phillips saw no real future.”
Not only will gasoline prices rise, he said, “but now we’ll have ships docked at our ports spewing pollution while they’re unloading gasoline from countries that don’t have the same environmental standards that we have.”
He laments the loss of up to 600 direct jobs at the refinery, 300 contractors, and an unknown number of ancillary jobs. The Phillips refinery is split into two sites, one section in Wilmington and the other in nearby Carson, linked by pipeline.
“I feel for the men and women who live around that area who have depended on these jobs for decades. The refinery was there first, not the homes,” he said. “These people made a conscious decision to buy homes in these communities to be close to jobs.”
Environmentalists and community activists cheered the news, however, saying it will mean cleaner air for the thousands who live in the area and that the state must continue the transition away from its dependence on fossil fuels.
Jamie Court, president of Consumer Watchdog, acknowledged that gasoline prices could rise after the refinery is shut down, but said that justifies California’s plans to assert more control over gasoline supplies.
“This is the reason for command and control over the refiners,” he said. “So when one changes their plan, the others must make sure they have supply liquidity.”
The loss of the Wilmington refinery will consolidate the state’s refining capacity in fewer hands, in what Court said would raise the potential for price-fixing.
The refinery closure is the latest development in the state’s attempt to rid itself of gasoline and diesel vehicles to reduce pollution and greenhouse gases, but at the same time keep a lid on pump prices.
The governor has not been shy about blaming the industry for what he calls price gouging, and his rhetoric is heated. Earlier this week he posted an Instagram video in which he declares that “Big oil big wigs are up to their oily shenanigans here in California.”
Rather than go tit-for-tat with the governor, Phillips 66 is taking what might be considered a strategic retreat. The closure could indeed boost its bottom line. The company runs nine gasoline refineries in the United States and two in Europe. In an August presentation aimed at investors, the company said it planned to increase its capacity utilization. That can be accomplished by closing one or more refineries and increasing utilization at those that remain, cutting operating and capital costs and improving profit margins.
As to possible supply shortages, Phillips said it will “work with California to maintain current levels and potentially increase supplies.” No details were offered. Phillips has a strong incentive to keep supplies up: it runs about 1,000 service stations in California under the 76, Phillips 66 and Conoco brands.
But importing fuel by ship from its own refineries or buying it from other importers “adds costs,” Borenstein said.
State Sen. Steve Bradford (D-Gardena) represents the district where the Phillips 66 refinery is located. “I feel for the men and women who live around that area who have depended on those jobs for decades,” he said.
(Associated Press)
Newsom declined to comment. Siva Gunda, vice chair of the California Energy Commission, issued a statement saying Phillips 66’s “plan to replace the production lost from the refinery closure is an example of the type of creative solutions that are needed as we transition away from fossil fuels.”
California had 11 gasoline refineries but that number was cut to nine recently when the Marathon refinery in Martinez and Phillips 66’s other California refinery in Rodeo, both in Northern California, converted their plants from fossil fuels to renewable diesel fuel. Those conversions earn carbon credit subsidies in the state’s carbon markets.
While providing lower-carbon fuel to California truckers, with consequent reductions in pollution and greenhouse gases, the shift increased concentration in the gasoline-refining market, leading to more pricing power. Next year, the number of California refineries will shrink to eight.
While Phillips 66 said its decision isn’t related to the gasoline storage bill, it warned in its most recent annual 10-K financial report that California legislation and rulemaking could have “potential adverse effects on our refining, marketing and midstream operations in California, which may be material to our results of operations, financial condition, profitability and cash flows.”
The report cited the passage in 2023 of a bill that gives the state power to set limits on refinery profit margins, with heavy penalties for noncompliance. The state hasn’t yet exercised that option.
Politics
AOC accuses Vance of believing ‘American people should be assassinated in the street’
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Democratic Rep. Alexandria Ocasio-Cortez is leveling a stunning accusation at Vice President JD Vance amid the national furor over this week’s fatal shooting in Minnesota involving an ICE agent.
“I understand that Vice President Vance believes that shooting a young mother of three in the face three times is an acceptable America that he wants to live in, and I do not,” the four-term federal lawmaker from New York and progressive champion argued as she answered questions on Friday on Capitol Hill from Fox News and other news organizations.
Ocasio-Cortez spoke in the wake of Wednesday’s shooting death of 37-year-old Renee Nicole Good after she confronted ICE agents from inside her car in Minneapolis.
RENEE NICOLE GOOD PART OF ‘ICE WATCH’ GROUP, DHS SOURCES SAY
Members of law enforcement work the scene following a suspected shooting by an ICE agent during federal operations on January 7, 2026, in Minneapolis, Minnesota. (Stephen Maturen/Getty Images)
Video of the incident instantly went viral, and while Democrats have heavily criticized the shooting, the Trump administration is vocally defending the actions of the ICE agent.
HEAD HERE FOR LIVE FOX NEWS UPDATES ON THE ICE SHOOTING IN MINNESOTA
Vance, at a White House briefing on Thursday, charged that “this was an attack on federal law enforcement. This was an attack on law and order.”
“That woman was there to interfere with a legitimate law enforcement operation,” the vice president added. “The president stands with ICE, I stand with ICE, we stand with all of our law enforcement officers.”
And Vance claimed Good was “brainwashed” and suggested she was connected to a “broader, left-wing network.”
Federal sources told Fox News on Friday that Good, who was a mother of three, worked as a Minneapolis-based immigration activist serving as a member of “ICE Watch.”
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Ocasio-Cortez, in responding to Vance’s comments, said, “That is a fundamental difference between Vice President Vance and I. I do not believe that the American people should be assassinated in the street.”
But a spokesperson for the vice president, responding to Ocasio-Cortez’s accusation, told Fox News Digital, “On National Law Enforcement Appreciation Day, AOC made it clear she thinks that radical leftists should be able to mow down ICE officials in broad daylight. She should be ashamed of herself. The Vice President stands with ICE and the brave men and women of law enforcement, and so do the American people.”
Politics
Contributor: Don’t let the mobs rule
In Springfield, Ill., in 1838, a young Abraham Lincoln delivered a powerful speech decrying the “ravages of mob law” throughout the land. Lincoln warned, in eerily prescient fashion, that the spread of a then-ascendant “mobocratic spirit” threatened to sever the “attachment of the People” to their fellow countrymen and their nation. Lincoln’s opposition to anarchy of any kind was absolute and clarion: “There is no grievance that is a fit object of redress by mob law.”
Unfortunately, it seems that every few years, Americans must be reminded anew of Lincoln’s wisdom. This week’s lethal Immigration and Customs Enforcement standoff in the Twin Cities is but the latest instance of a years-long baleful trend.
On Wednesday, a 37-year-old stay-at-home mom, Renee Nicole Good, was fatally shot by an ICE agent in Minneapolis. Her ex-husband said she and her partner encountered ICE agents after dropping off Good’s 6-year-old at school. The federal government has called Good’s encounter “an act of domestic terrorism” and said the agent shot in self-defense.
Suffice it to say Minnesota’s Democratic establishment does not see it this way.
Minneapolis Mayor Jacob Frey responded to the deployment of 2,000 immigration agents in the area and the deadly encounter by telling ICE to “get the f— out” of Minnesota, while Gov. Tim Walz called the shooting “totally predictable” and “totally avoidable.” Frey, who was also mayor during the mayhem after George Floyd’s murder by city police in 2020, has lent succor to the anti-ICE provocateurs, seemingly encouraging them to make Good a Floyd-like martyr. As for Walz, he’s right that this tragedy was eminently “avoidable” — but not only for the reasons he thinks. If the Biden-Harris administration hadn’t allowed unvetted immigrants to remain in the country without legal status and if Walz’s administration hadn’t moved too slowly in its investigations of hundreds of Minnesotans — of mixed immigration status — defrauding taxpayers to the tune of billions of dollars, ICE never would have embarked on this particular operation.
National Democrats took the rage even further. Following the fateful shooting, the Democratic Party’s official X feed promptly tweeted, without any morsel of nuance, that “ICE shot and killed a woman on camera.” This sort of irresponsible fear-mongering already may have prompted a crazed activist to shoot three detainees at an ICE facility in Dallas last September while targeting officers; similar dehumanizing rhetoric about the National Guard perhaps also played a role in November’s lethal shooting of a soldier in Washington, D.C.
Liberals and open-border activists play with fire when they so casually compare ICE, as Walz previously has, to a “modern-day Gestapo.” The fact is, ICE is not the Gestapo, Donald Trump is not Hitler, and Charlie Kirk was not a goose-stepping brownshirt. To pretend otherwise is to deprive words of meaning and to live in the theater of the absurd.
But as dangerous as this rhetoric is for officers and agents, it is the moral blackmail and “mobocratic spirit” of it all that is even more harmful to the rule of law.
The implicit threat of all “sanctuary” jurisdictions, whose resistance to aiding federal law enforcement smacks of John C. Calhoun-style antebellum “nullification,” is to tell the feds not to operate and enforce federal law in a certain area — or else. The result is crass lawlessness, Mafia-esque shakedown artistry and a fetid neo-confederate stench combined in one dystopian package.
The truth is that swaths of the activist left now engage in these sorts of threats as a matter of course. In 2020, the left’s months-long rioting following the death of Floyd led to upward of $2 billion in insurance claims. In 2021, they threatened the same rioting unless Derek Chauvin, the officer who infamously kneeled on Floyd’s neck, was found guilty of murder (which he was, twice). In 2022, following the unprecedented (and still unsolved) leak of the draft majority opinion in the Dobbs vs. Jackson Women’s Health Organization Supreme Court case, abortion-rights activists protested outside many of the right-leaning justices’ homes, perhaps hoping to induce them to change their minds and flip their votes. And now, ICE agents throughout the country face threats of violence — egged on by local Democratic leaders — simply for enforcing federal law.
In “The Godfather,” Luca Brasi referred to this sort of thuggery as making someone an offer that he can’t refuse. We might also think of it as Lincoln’s dreaded “ravages of mob law.”
Regardless, a free republic cannot long endure like this. The rule of law cannot be held hostage to the histrionic temper tantrums of a radical ideological flank. The law must be enforced solemnly, without fear or favor. There can be no overarching blackmail lurking in the background — no Sword of Damocles hovering over the heads of a free people, ready to crash down on us all if a certain select few do not get their way.
The proper recourse for changing immigration law — or any federal law — is to lobby Congress to do so, or to make a case in federal court. The ginned-up martyrdom complex that leads some to take matters into their own hands is a recipe for personal and national ruination. There is nothing good down that road — only death, despair and mobocracy.
Josh Hammer’s latest book is “Israel and Civilization: The Fate of the Jewish Nation and the Destiny of the West.” This article was produced in collaboration with Creators Syndicate. X: @josh_hammer
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Ideas expressed in the piece
- Democrats and activist left are perpetuating a dangerous “mobocratic spirit” similar to the mob law that Lincoln warned against in 1838, which threatens the rule of law and national unity[1]
- The federal government’s characterization of the incident as self-defense by an ICE agent is appropriate, while local Democratic leaders are irresponsibly encouraging anti-ICE protesters to view Good as a martyr figure like George Floyd[1]
- Dehumanizing rhetoric comparing ICE to the Gestapo is reckless fear-mongering that has inspired actual violence, including a shooting at an ICE facility in Dallas and the fatal shooting of a National Guard soldier[1]
- The shooting was “avoidable” not because of ICE’s presence, but because the Biden-Harris administration allowed undocumented immigrants to remain in the country without legal status and state authorities moved too slowly investigating immigrant fraud[1]
- Sanctuary jurisdictions that resist federal law enforcement represent neo-confederate “nullification” and constitute crass lawlessness and Mafia-style extortion, effectively telling federal agents they cannot enforce the law or face consequences[1]
- The activist left employs threats of violence as systematic blackmail, evidenced by 2020 riots following Floyd’s death, threats surrounding the Chauvin trial, protests at justices’ homes during the abortion debate, and now threats against ICE agents[1]
- Changing immigration policy must occur through Congress or federal courts, not through mob rule and “ginned-up martyrdom complexes” that lead to personal and national ruination[1]
Different views on the topic
- Community members who knew Good rejected characterizations of her as a domestic terrorist, with her mother describing her as “one of the kindest people I’ve ever known,” “extremely compassionate,” and someone “who has taken care of people all her life”[1]
- Vigil speakers and attendees portrayed Good as peacefully present to watch the situation and protect her neighbors, with an organizer stating “She was peaceful; she did the right thing” and “She died because she loved her neighbors”[1]
- A speaker identified only as Noah explicitly rejected the federal government’s domestic terrorism characterization, saying Good was present “to watch the terrorists,” not participate in terrorism[1]
- Neighbors described Good as a loving mother and warm family member who was an award-winning poet and positive community presence, suggesting her presence during the incident reflected civic concern rather than radicalism[1]
Politics
Trump plans to meet with Venezuela opposition leader Maria Corina Machado next week
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President Donald Trump said on Thursday that he plans to meet with Venezuelan opposition leader Maria Corina Machado in Washington next week.
During an appearance on Fox News’ “Hannity,” Trump was asked if he intends to meet with Machado after the U.S. struck Venezuela and captured its president, Nicolás Maduro.
“Well, I understand she’s coming in next week sometime, and I look forward to saying hello to her,” Trump said.
Venezuelan opposition leader Maria Corina Machado waves a national flag during a protest called by the opposition on the eve of the presidential inauguration, in Caracas on January 9, 2025. (JUAN BARRETO/AFP via Getty Images)
This will be Trump’s first meeting with Machado, who the U.S. president stated “doesn’t have the support within or the respect within the country” to lead.
According to reports, Trump’s refusal to support Machado was linked to her accepting the 2025 Nobel Peace Prize, which Trump believed he deserved.
But Trump later told NBC News that while he believed Machado should not have won the award, her acceptance of the prize had “nothing to do with my decision” about the prospect of her leading Venezuela.
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