Due to refinery shutdowns, pipeline constraints, and the provisions of the Jones Act, energy prices in California are on the rise, influenced by Democratic policies. Interestingly, about 40% of the state’s gasoline originates from the Bahamas.
This might sound outrageous, but this is what can happen when Democrats gain a solid hold in a state. Try to keep up with this…
Refined gasoline is actually shipped outside the U.S., traveling thousands of miles to the Bahamas before making its way back to financially struggling California.
According to Bloomberg, “Shipping through lengthy routes is increasing. California saw its highest gasoline imports ever last November, with over 40% coming from the Bahamas.” The report states, “This trend isn’t likely to change soon because of vanishing oil refineries, a shortage of interstate pipelines, and loopholes in maritime legislation that’s been around for a century.”
Moreover, “California has some of the strictest environmental rules in the U.S., resulting in higher costs for energy companies to operate,” the report noted.
Phillips 66 shut down its California refinery last October, and just recently, Valero Energy spent over $1 billion to exit the state altogether. So what’s the state’s plan if trucks can’t go to the refineries, fill up, and then deliver to gas stations?
Given that there’s an abundance of oil in the Gulf, one might think, well, just use pipelines to bring it in. But California isn’t exactly set up for that, so no pipelines are available. After all, is it really worth it to provide cheap energy to millions at the expense of a few locals?
What about alternatives?
So, we’re talking tankers, right?
But are you really going to haul it across the ocean?
Exclude that option.
Enter the Jones Act.
This law, which is over a century old, mandates that “all goods shipped between U.S. ports must be carried on vessels that are built, owned, and operated by Americans.”
The catch? Although there are about 7,000 tankers worldwide under the Jones Act, only 55 comply with it. So, what happens instead? Oil from the U.S. is shipped to the Bahamas and then to California.
This situation renders gasoline from far-off places more competitive, thus pushing California’s gas prices higher. Currently, the average cost per gallon stands at $4.60, while the national average is $2.92.
Here’s the kicker…
How is it even remotely environmentally friendly to 1) expend fuel transporting tankers thousands of miles and 2) risk a far greater environmental disaster compared to pipelines or refineries?
Honestly, the original goal might not have been environmental at all. If it had been, California Democrats would surely drill, refine locally, and construct pipelines, which would be much cheaper than extensive public transport projects.
It seems like Democrats aren’t really that concerned about the environment. What they’re more interested in is control. By inflating energy prices, they’ve tightened their grip on our daily lives. The tougher things get, the more reliant folks become on government support. It feels like they want us to migrate to struggling cities, live in public housing, and feel guilty about environmental issues. In that scenario, they could take away our rights, regulate our freedoms, and essentially push us into government jobs or assistance.
