California’s soaring gas prices are fueling an escalating political battle between Gov. Gavin Newsom and Chevron, with Newsom urging drivers to boycott Chevron stations over Memorial Day weekend.
Newsom took his message directly to social media, posting on X, “Pro tip: unbranded gas comes from the same refineries, storage tanks, and pipelines, and it meets the same state standards to keep your engine running clean.”
The post urged Californians to avoid Chevron stations, arguing consumers are paying more for branding rather than better fuel.
The call to boycott Chevron stations follows Chevron’s posting of signs at hundreds of California stations criticizing Sacramento leaders and stating, “California politicians are choosing foreign oil and fuels over local jobs and lower costs.”
The public fight is the latest chapter in a feud between Newsom and the oil industry that has been escalating for years.
In 2023, Newsom announced California’s landmark lawsuit against major oil companies, accusing them of deceiving the public about climate change and linking fossil fuel emissions to worsening heat waves, droughts and devastating wildfires.
“It’s incalculable in terms of the dollars, the lives lost, the funerals, the dead bodies in Paradise, California, people whose lives have been cut short because of health risks,” Newsom said during remarks at Climate Week NYC in 2023.
That same year, Newsom signed legislation aimed at penalizing oil companies for excessive refinery profits and price gouging at the pump.
In 2024, Chevron announced it would relocate its headquarters from San Ramon, California to Houston, Texas, citing California’s regulatory climate and operating costs. The move ended Chevron’s 145-year headquarters history in California.
Consumer Watchdog, a California consumer advocacy group, says Chevron is profiting heavily while drivers continue paying steep prices.
“We know this from the state reports,” said Jamie Court, president of Consumer Watchdog. “In March, they made $1.11 off every gallon of gas that came out of the refinery, and then they’re making more on their retail stations, because they control the price at their resale stations.”
Court said branded stations often charge significantly more than competitors selling comparable fuel.
“Their retail stations are charging much more than the Costcos, so when you’re paying a dollar more for the same gas at Chevron than you’re paying at Costco, you know these major brands are making an awful lot of money, but in particular, Chevron,” Court said.
Californians pay the highest gas tax in the nation, about 70 cents per gallon, according to the California Energy Commission.
Newsom blames oil companies for driving prices higher.
“Big Oil is already making billions off Trump’s Iran War; don’t let them rip you off even more by overpaying for the brand name,” Newsom posted on X.
Chevron blames policymakers instead. The company says California has lost 18% of its refining capacity in less than a year and argues state energy policies are driving prices upward.
“Chevron works hard to educate Californians about the negative consequences of Sacramento’s energy and tax policies,” spokesperson Ross Allen said in a statement.
He added, “We urge Sacramento to take energy policy seriously, and stop making life expensive for California drivers.”
Consumer Watchdog recommends drivers shop around, arguing gasoline sold at branded stations like Chevron is often essentially the same fuel sold at lower-priced unbranded stations.
