Latest news with #fuelcrisis
Yahoo
08-05-2025
- Business
- Yahoo
California gas prices could reach $8 a gallon by 2026, new study suggests
Yahoo is using AI to generate takeaways from this article. This means the info may not always match what's in the article. Reporting mistakes helps us improve the experience. Yahoo is using AI to generate takeaways from this article. This means the info may not always match what's in the article. Reporting mistakes helps us improve the experience. Yahoo is using AI to generate takeaways from this article. This means the info may not always match what's in the article. Reporting mistakes helps us improve the experience. Generate Key Takeaways The Brief The closure of two California refineries could reduce the state's refining capacity, leading to a gasoline shortfall. Gas prices could increase by 75% by the end of 2026. Prices for a gallon of gas could jump to roughly $8. LOS ANGELES - California could soon face a fuel crisis as two oil refineries are set to shut down. That crisis could also drastically increase gas prices for consumers. According to a new study published by USC's Marshall School of Business, the impact of the refineries closing could drive gas prices up to $8 a gallon by 2026. Why are prices increasing? What we know The Phillips 66 refinery in Los Angeles is set to close in October 2025 and Valero's Benicia refinery is expected to close in April 2026. The study suggests that the closures will lead to an economic crisis and result in a gasoline shortfall. "Reductions in fuel supplies of this magnitude will resonate throughout multiple supply chains affecting production, costs, and prices across many industries such as air travel, food delivery, agricultural production, manufacturing, electrical power generation, distribution, groceries, and healthcare. Additionally, a reduction in gasoline production and related price increases will likely have a dragging effect on the growth of California's GDP, and have a significant impact on the affordability of living in the Golden State, as well as personal and household spending patterns and saving behaviors. The loss of in-state gasoline production will also adversely affect corporate and personal income, sales, and excise tax revenues at a time when California's budget deficit is estimated to be as high as $73 billion, and state and local government debt at $1.6 trillion," the study read. Experts say California is confronting a potential 21% reduction in collective refining capacity from 2023 to April 2026. What's next Experts believe that in order to make up for the shortfall in production, California would likely have to rely on refineries from around the world, including those on the Gulf Coast, South Korea, and China. RELATED: Oil company Phillips 66 to shut down Los Angeles refinery "As a consequence of the two refinery closings, California will be at the mercy of out-of-state and foreign, non-U.S. refiners. Historically, when California needed gasoline to compensate for its in-state production shortages, it turned to Washington State refineries. However, Washington State's current capacity of 648,000 barrels a day is less than 40% of that of California's, and it does not appear that it has sufficient surplus capacity to compensate for the expected reductions," the study said. $8 a gallon? Why it Matters Experts who conducted the study estimate that the average price of regular gasoline in California could potentially increase by as much as 33.6% from the April 23, 2025, price of $4.816 to $6.045 and/or $6.433 a gallon by the end of 2025. More so, they estimate the average price of regular gasoline could also potentially increase by as much as 75% from the April 23, 2025, price of $4.816 to $7.348 and/or $8.435 a gallon by the end of 2026. California's average gas price is typically 40% to 50% higher than the national average. According to AAA, currently, the national average price is $3.15, while California's current average price is $4.79.
Irish Times
06-05-2025
- Politics
- Irish Times
Drone strikes pound Port Sudan, putting aid deliveries at risk
Explosions and fires rocked Sudan 's wartime capital Port Sudan on Tuesday, a witness said, part of a days-long drone assault that has torched the country's biggest fuel depots and damaged its primary gateway for humanitarian aid in a sharp escalation. The strikes included an unmanned aerial vehicle attack by Sudan's paramilitary Rapid Support Forces (RSF) on Port Sudan facilities, targeting the container terminal, British maritime security firm Ambrey reported. The strikes were the most intense since the attack on Port Sudan began on Sunday, in a conflict in which drones have played an increasing role, helping army advances earlier this year. Columns of black smoke billowed from Sudan's main strategic fuel caches near the port and airport on Tuesday, a witness in the city said, while strikes also hit an electricity substation and a hotel near the presidential residence. READ MORE The destruction of fuel facilities and damage to the airport and port risk intensifying Sudan's humanitarian crisis, which the UN calls the world's worst, by throttling aid deliveries by road and hitting power output and cooking gas supplies. Port Sudan had enjoyed relative calm since the civil war between the army and the RSF suddenly erupted in April 2023. The Red Sea city became the base for the army-aligned government after the RSF swept through much of the capital, Khartoum, at the start of the conflict. Hundreds of thousands of displaced people have also sought refuge in the city, where UN officials, diplomats and agencies have also set up headquarters, making it the main base for aid operations. Inside Port Sudan, the attack on the electricity substation led to a power cut across the city while army units deployed around public buildings, the witness said. Momentum in the conflict has repeatedly swung back and forth, but neither side has looked likely to win outright. The drone strikes on Port Sudan open a new front, targeting the army's main stronghold in eastern Sudan after it drove the RSF back westwards across much of central Sudan, including Khartoum, in March. Military sources have blamed the RSF for the attacks on Port Sudan since Sunday, though the group has not yet claimed any responsibility for the strikes. The attacks came after a military source said the army had destroyed an aircraft and weapons depots in the RSF-controlled Nyala airport in Darfur, the main stronghold of the paramilitary group. [ Up to 400,000 displaced from Sudan camp after RSF takeover, says UN body Opens in new window ] Sudan's conflict has drawn in regional powers seeking to build influence in a country strategically positioned along much of the Red Sea coast and with borders opening on to North African, Central African and Horn of Africa countries. The attacks have drawn condemnation from neighbouring Egypt and Saudi Arabia, as well as expressions of concern from the United Nations. Sudan's army-aligned government has accused the United Arab Emirates of backing the RSF, accusations that UN experts have found credible and continue to investigate. The UAE has denied backing the RSF and the International Court of Justice on Monday said it could not rule in a case in which the government accused the UAE of fuelling genocide. The war, triggered by a dispute over a transition to civilian rule, has displaced more than 12 million people and pushed half the population into acute hunger, according to the United Nations. − Reuters
