J.P. Morgan analysts say the U.S. has “achieved energy independence for the first time in 40 years.” Meanwhile, California has chosen the opposite path.
Policymakers are realizing that changing how the world’s fifth-largest economy produces and consumes energy is a massively complicated undertaking – and costs a lot of money.
Analysts say the continued unrest could upend international commerce at a time when the Golden State is becoming more dependent on foreign oil imports for basic energy needs.
Experts agree the governor’s reckless shutdown agenda will extend the state’s reliance on volatile foreign energy markets and harm low-income Californians the most.
The governor has moved aggressively to shut down oil production, but government forecasts show the state will still need 11.5 billion gallons of gas and diesel in 2035.
State data confirms demand for oil and gas is increasing in the Golden State, dealing a harsh dose of reality to Governor Newsom’s energy transition narrative.
The governor has extended the life of natural gas generators, recognizing they are necessary to maintain grid reliability. Energy activists aren’t happy about it.
With no pipeline connections to the lower-48, California is an “energy island” that must either produce the oil it needs in-state or import it on tankers from overseas.
State, federal, and academic experts agree that California will maintain high demand for oil over the next three decades. The governor’s policies disregard their projections.