By Larry Bell
Wednesday, 22 April 2026
Recent U.S. military actions targeting Iran have temporarily closed the Strait of Hormuz, a critical chokepoint for approximately 20% of global oil shipments.
This move has contributed to a sharp rise in gasoline prices, with California’s retail costs now exceeding $5.52 per gallon—more than double the national average of $3.72. Former Vice President Kamala Harris recently blamed President Trump and his alleged “war of choice” against Iran for the price surge, noting that gasoline costs have risen by $15 per tank.
In a video appearance at a Charlotte, North Carolina gas station, Harris stated: “We’ve got a president who is paying more attention to what he thinks is in his best political interests and personal interests, as opposed to what is in the best interest of working people in America.”
California Governor Gavin Newsom has similarly criticized President Trump for fuel price hikes while opposing offshore drilling and pipeline projects that could reduce state dependence on foreign oil. Newsom recently blocked Sable Offshore Corp.’s efforts to reopen a project in federal waters—a move tied to a 2015 spill. When Energy Secretary Chris Wright ordered the company to resume operations under the Defense Production Act, Newsom denounced it as “a political attempt to point the finger at California to divide and distract the American people from his wartime failures.”
Sable currently holds about 540,000 barrels of crude oil in storage and plans to sell 50,000 barrels daily. However, California’s policies—including cap-and-tax programs, low-carbon fuel standards, and drilling restrictions—have left the state importing roughly 60% of its crude from overseas. This reliance on Middle Eastern sources adds an extra $0.15 per gallon to California’s gasoline costs compared to national averages.
The state has lost half its refining capacity since the 1980s and a quarter since 2019 due to regulations that have rendered many facilities uneconomical. With Valero’s Bay Area refinery set to shut next month, regional gasoline demand will exceed production by 135,000 barrels daily—a level equivalent to about 36% of local consumption.
A single refinery outage in northern California could trigger a “fuel emergency,” jeopardizing Coast Guard readiness and Air Force Pacific operations.
