SANTA MONICA, Calif.,
March 3, 2015 /PRNewswire-USNewswire/
-- Consumer Watchdog today reiterated calls for an increase in
the state's oil reserves as Los
Angeles gas prices jumped $1.03
cents in the last month, the highest in the state, according
to AAA's Fuel Gauge Report website. Los
Angeles prices at the pump for regular gas have reached
$3.53 per gallon, a dollar and
nine cents, or 45% higher than the
national average of $2.44 per
gallon.
"Angelenos are feeling the brunt of a statewide crisis –
California oil refiners'
stranglehold on supply that gives them free rein to manipulate the
market and spike prices even as crude prices remain low," said
Consumer Advocate Liza Tucker. "Lawmakers have a simple solution at
hand – mandating a minimum 24 days of supply of gasoline. It's time
to bring California up to national
standards and remove a key supply metric from the oil companies'
control."
California keeps just 10 days
of supply of gasoline on hand, less than half of the nation's
average of 24 days of supply, making the gas market in California tighter and more vulnerable to
volatility than the rest of the nation.
Consumer Watchdog has called on Governor Brown and regulators to
investigate refinery closures since refineries began slowing
production in early February. Tesoro's Martinez refinery was shut down on
February 2nd during the
steelworkers' nationwide strike, despite its CEO's assurances to
investors that refineries can continue operating with lower staff
levels indefinitely. Production was further cut after an explosion
rocked Exxon's Torrance refinery.
The two refineries together represent 16.5 percent of the state's
refining capacity.
Senate President Pro Tem Kevin de León has announced hearings
into the Torrance refinery
explosion, refinery infrastructure, and on gasoline pricing and
supply. Consumer Watchdog is also pressing lawmakers to pass
legislation mandating on-site inspections when refineries close to
determine if the closures are for legitimate reasons.
"Gas prices forty-five percent above the national average is
ridiculous, and does not reflect normal supply and demand," said
Tucker. "Californians want answers and lawmakers should subpoena
refinery CEOs to get them. Just because oil companies are the
largest lobbyists in the state, doesn't mean their industry should
get a free pass time and again—from accidents that poison people to
manipulation of supply that poisons prices at the pump."
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/los-angeles-sees-highest-gas-price-spike-in-state---103-in-one-month-consumer-watchdog-calls-for-increased-oil-reserves-300044962.html
SOURCE Consumer Watchdog