California climate proposal could raise gas prices by 65 cents

By Anne C. Mulkern | 11/08/2024 06:21 AM EST

A proposal to tighten emissions limits would help develop alternative fuels. But it faces significant opposition over consumer costs.

Liane Randolph is chair of the California Air Resources Board.

Liane Randolph is chair of the California Air Resources Board, which will consider a proposal Friday that would reduce climate pollution but could increase gasoline prices by up to 65 cents per gallon. Jeff Chiu/AP

A California environmental agency will consider a policy Friday that would reduce climate pollution but faces significant opposition because it could increase state gasoline prices by up to 65 cents a gallon.

The policy would likely force certain suppliers of fossil fuel products to invest more in alternative fuels, which would drive up suppliers’ costs, analysts said. If they pass costs along to consumers, it would give California the nation’s highest pump prices by a wide margin.

The California Air Resources Board, which regulates air pollution, will review the proposal Friday, take public testimony and could vote on approval.

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The proposal has drawn opposition from some federal and state legislators and from one of CARB’s 16 voting members — all worried about higher gas prices.

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