As California Democratic Gov. Gavin Newsom traveled to Brazil in mid-November to promote his climate agenda, the reality back home tells a very different story: because of his energy policies, Californians are facing some of the highest gas and electricity prices in the country. Families and businesses are being squeezed by what has effectively become an energy affordability crisis — one that also carries serious national security implications.
Since 2018, more than 360 energy companies have left California under the weight of increasingly burdensome regulations, and new oil drilling permits have dropped by 95% since Newsom took office in 2019.
The result: over the past five years, California has produced nearly 128,000 fewer barrels of oil per day, despite having the fifth-largest petroleum reserves in the United States. By refusing to support in-state production, Newsom has pushed California into deeper dependence on foreign oil.
In 1982, less than 6% of California’s crude oil came from outside the United States. Today, according to the California Energy Commission, more than 60% is imported. Brazil now supplies roughly 20% of those imports, while about 21% comes from Iraq.
At the same time, California’s refining capacity is steadily eroding. By early 2026, the state is projected to lose nearly 20% of its remaining refining capacity. Without decisive action, rolling blackouts, sudden price spikes and fuel shortages could become routine — not only for Californians, but for millions of people across the West Coast who rely on California’s energy infrastructure.
This decline has major consequences for the state’s pipeline system. Most pipelines need about 90,000 barrels of daily production to remain financially viable and fully operational. Because of supply shortfalls, many are running at closer to 50,000 barrels a day, generating losses of about $2 million a month for operators.
Currently, Crimson Midstream — which operates California’s largest crude oil pipeline network — is struggling to sustain its system amid the policy-driven uncertainty coming out of Sacramento. California Democrats’ aggressive stance against domestic energy production has left key assets like the San Pablo Bay Pipeline at risk of shutting down in the new year. That would further destabilize an already fragile supply chain and push refinery capacity even closer to the breaking point.
These choices have created an artificial fuel shortage, driving up prices at the pump for working families and increasing California’s reliance on imported gasoline. The state may soon find itself in the absurd position of having to buy refined gasoline produced from oil reserves located off its own coastline — effectively paying a premium to re-import what it once could supply more affordably.
But high prices are only part of the problem. Newsom’s approach to oil and refining is also undermining the nation’s military readiness.
California hosts numerous U.S. military installations that fall under U.S. Indo-Pacific Command. The men and women stationed at these bases must be prepared to deploy anywhere in the world on short notice — and that capability depends on having reliable access to the specialized fuels they require.
Military aviation fuels are highly refined and tailored to exacting standards, and California’s refineries are equipped to produce them. In 2024, military installations in the state consumed roughly 10 million gallons of gasoline. With two recent refinery closures, jet fuel output is estimated to drop by at least 600,000 gallons per day. Combined with the projected 20% decline in overall refining capacity by early 2026, this trend poses a direct risk to the energy supply that supports U.S. operations across the Pacific.
No amount of carefully crafted talking points can obscure the danger these policies pose to both energy affordability and national security.
One of the most urgent priorities in Congress today is countering the growing threat from China, which demands robust readiness in the Indo-Pacific region. Instead of working across party lines to support that mission and strengthen California’s role in our national defense, Newsom has chosen to shrink in-state refining and oil production, weakening the very infrastructure that underpins our strategic posture.
If California’s fuel network continues to be choked by underutilized pipelines and overstressed refineries without adequate supply, the military fuel chain that supports West Coast operations will suffer — with consequences that could extend far beyond state borders.
Newsom’s progressive agenda and his apparent presidential ambitions have led him to downplay or ignore these realities. That’s not just misguided policy; it’s reckless.
To restore stability to California’s energy system and send a clear signal of strength to our adversaries, the state must dramatically increase permitting, expand drilling capacity and reinstate enhanced oil recovery methods. These steps are essential to keeping pipelines viable and buying time to rebuild and modernize refining capabilities.
Instead of obstructing efforts in Congress and the White House to grow domestic energy production, Sacramento should be partnering to ensure California can meet its rising energy demands while reinforcing America’s national security.
Newsom’s decisions have helped fuel California’s broader affordability crisis. He now faces a choice: continue down a path of scarcity, dependence and higher costs, or reverse course and work with the state’s energy producers to restore true energy independence — for California and for the nation. The stability of California’s economy and the strength of America’s security posture both depend on that decision.
