Oil Refiners More Than Doubled Their CA Profits From Recent Gas Price Spikes

Published on

Watchdog Makes Case For Windfall Profits Cap 

Sacramento, CA — California’s four big oil refiners more than doubled their average profit of the last 20 years from California during the recent gasoline price spikes, according to testimony delivered by Consumer Watchdog to the California Energy Commission today.

Consumer Watchdog also testified that the four oil refiners that report quarterly profits to their investors reported 30% greater profits from California during 2022 than from anywhere else in the nation or world. 

View the group’s presentation on windfall profits.

“Californians are being punished with gasoline prices that were as much as $2.60 more than US gas prices and the proof of the price gouging is in the profits reports,” said Jamie Court, president of Consumer Watchdog. “California oil refiners reported truly windfall profits in 2022, profits levels they have never reached in the last 20 years. It’s time for the state to set a windfall profits cap on oil refiners so that the Golden State gouge comes to an end.”
 

Reports to investors show over the last 20 years oil refiners in California made an average of 32 cents per gallon refining gasoline, this year they more than doubled the margin to make 69 cents per gallon in profit, according to the testimony.  
 
The four refiners that report quarterly profits – Valero, PBF, Phillips 66, and Marathon – made an average of 86 cents per gallon in profit during the second quarter and 73 cents per gallon during the third quarter.  Until this year, none of the four oil refiners have made profits that have exceeded 50 cents per gallon.

Chevron only reports its profits on an annual basis. During the last 20 years, Chevron has made profits per gallon in California that have exceeded 50 cents per gallon only 3 times.
 
Counting any profit above 50 cents per gallon as a windfall profit, the four refiners that report their quarterly profit would owe Californians back $1.8 billion for their windfall profits in the first three quarters of 2022, Court testified. 

“Californians have paid billions too much at the pump due to oil refiners’ price gouging”

-Jamie Court

Court noted that California’s big five oil refiners posted overall profits of $67.6 billion in the first nine months of 2022 – nearly quadruple the $17.6 billion recorded for the same period in 2021. The five refiners — Chevron, Marathon, PBF, Phillips 66 and Valero — make 97% of the gasoline in California.
 
“Californians have paid billions too much at the pump due to oil refiners’ price gouging,” said Court. “Now it’s time for the California legislature to take up Governor Newsom’s call for a windfall profits cap during the special session and give them much needed relief.”

Watch Court’s testimony below.
 

-30-

Jamie Court
Jamie Court
Consumer Watchdog's President and Chairman of the Board is an award-winning and nationally recognized consumer advocate. The author of three books, he has led dozens of campaigns to reform insurance companies, financial institutions, energy companies, political accountability and health care companies.

Latest Energy Videos

Video thumbnail
KNBC-LA (NBC) - Los Angeles, CA; Holding Utility Companies Accountable For Power Outages
02:01
Video thumbnail
Consumer Watchdog at CA Senate Energy Cmte 2 22 23
50:54
Video thumbnail
KFMB CW - San Diego, CA; Oil Companies Need to be Held Accountable for High Gas Prices
02:42
Video thumbnail
KTTV (FOX) - Los Angeles, CA; Recap Of Jamie Court's Testimony At The Senate Hearing For Gas Prices
05:07
Video thumbnail
KGTV(ABC) - SD, CA; Jamie Court Will Testify at the Price Gouging Hearing for Rising Gas Prices
01:17
Video thumbnail
KTTV-LA (FOX) - Los Angeles, CA; SoCal Gas Bill Sticker Shock
04:24
Video thumbnail
Spectrum News 1 - Los Angeles, CA; Who Is SoCal Gas Buying Their Gas From?
09:17
Video thumbnail
Why SoCal Gas is at Fault For Doubling Your Natural Gas Bill
01:43
Video thumbnail
KNBC - Los Angeles, CA; Spike In Natural Gas Prices
02:32
Video thumbnail
KCBS - Los Angeles, CA; New Year, New Pain At The Pump
03:02
Video thumbnail
KCAL - Los Angeles, CA; Jamie Court Says We are Being Gouged By SoCal Gas
02:18
Video thumbnail
KTTV (FOX) - Los Angeles, CA; Jamie Court Weighs In On Astronomically High SoCal Gas Bills
04:29
Video thumbnail
KCAL- LA, CA; What's Behind The Gas Price Jump And Simple Changes That Could Save You Some Money
02:49
Video thumbnail
Spectrum News 1 - Los Angeles, CA; SoCal Gas Is Blaming Price Hikes On A Cold Snap
09:35
Video thumbnail
KCAL- Los Angeles, CA; SoCal Gas Price Hikes Has To Do With Mismanagement
01:10
Video thumbnail
Spectrum News 1 - Los Angeles, CA; Jamie Court Says There's More To The SoCal Price Hike
03:10
Video thumbnail
Consumer Watchdog President Jamie Court Testifies About Need for Windfall Profits Cap in California
05:36
Video thumbnail
Californians Need a Rebate From Gasoline Price Gouging
02:34
Video thumbnail
Senate Bill 1322 Takes On The Golden State Gouge
01:06
Video thumbnail
CBS Evening News: Jamie Court on Gas Prices Hitting 5 Year High
01:40
Video thumbnail
KNBC: Jamie Court Explains the Spike in Gas Prices
02:23
Video thumbnail
KTTV-GDLA: Jamie Court Explains California's High Gas Prices
04:34
Video thumbnail
SPECTRUM NEWS1: Challenges Redeeming Recyclables in California
02:56
Video thumbnail
SPECTRUM NEWS1: California Stores Preventing Bottle Deposit Redemption
08:55
Video thumbnail
KCAL: Santa Monica's Last Recycling Center is Closing
00:38
Video thumbnail
KABC: New Gas Tax to be Enacted on July 1st
02:22
Video thumbnail
KTVU Fox: Consumer Watchdog Urges Governor Newsom to Fire Oil Regulators With Conflicts of Interests
00:46
Video thumbnail
SPECTRUM NEWS 1: DOGGR Regulator Fired Over Conflicts of Interest and Increased Oil Drilling Permits
03:06
Video thumbnail
KABC: FBI Raids LADWP Office and City Attorney's Office Over Billing Scandal Cover-Up
02:07
Video thumbnail
KABC: The Largest Chain of Recycling Centers in CA is Closing Down
02:14
Video thumbnail
ABC KOFY: CA's Recycling Crisis Worsens After Largest Chain of Recycling Centers Close
02:08
Video thumbnail
ABC KXTV: rePlanet Closes Entire Chain Of Recycling Centers
00:38
Video thumbnail
KRON: rePlanet Recycling Centers Shut Down Statewide
02:03
Video thumbnail
KTTV: rePlanet CA's Largest Recycling Business Closes All Sites Statewide
00:40
Video thumbnail
KSBY: Closure Of All rePlanet Recycling Centers Threatens Ability to Redeem Bottle Deposits
03:02
Video thumbnail
KPIX: CA Recycling Is Dealt A Blow As rePlanet Shuts Down Centers Statewide
02:41
Video thumbnail
KGO: CA Faces Recycling Woes As Largest Recycling Chain rePlanet Shuts Down
01:50
Video thumbnail
SPECNEWS1: Consumer Watchdog Addresses High Gas Prices In SoCal
05:15
Video thumbnail
KCBS: Governor Newsom Calls For AG To Investigate Skyrocketing Gas Prices
02:40
Video thumbnail
KTTV: Consumer Watchdog Applauds Gov Newsom Request For Investigation Into CA Gas Prices
02:25
Video thumbnail
KNBC: Newsom Calls For An Investigation Into CA Gas Prices, Highest In Country
02:23
Video thumbnail
KABC: Newsom Wants A Probe Into CA Gas Price Fixing And Manipulation
01:45
Video thumbnail
CBS KOVR: Governor Newsom Orders Investigation Into High Gas Prices in CA
01:53
Video thumbnail
KABC Los Angeles: Consumer Watchdog on the Need to Overhaul CA's Failing Recycling Program
02:04
Video thumbnail
KCAL LA: Consumer Watchdog on the New Bill SB372 and the Collapse of CA's Bottle Redemption System
00:49
Video thumbnail
CBS SF: Consumer Watchdog Ranks CA's Bottle Deposit System Worst in Nation, SB372 Reaches Senate
00:27
Video thumbnail
ABC 10 San Diego: Consumer Watchdog Urges Overhaul of CA’s Recycling Program Via New Bill SB372
02:41
Video thumbnail
KNBC Los Angeles: Consumer Watchdog Calls on Newsom to Address CA's Failed Bottle Deposit System
03:20
Video thumbnail
CNN Newsroom With Brooke Baldwin: Charles Johnson Sues LA Hospital for the Death of His Wife
04:54

Latest Energy Releases

Energy In The News

Latest Energy Report

Support Consumer Watchdog

Subscribe to our newsletter

To be updated with all the latest news, press releases and special reports.

More energy Releases