Furious Californians slam Gavin Newsom’s stealth plan that will bring even more gas price hikes: ‘Taxing us to death’

As gas prices continue climbing in California — already the highest in the nation — residents are increasingly venting their frustration at Gov. Gavin Newsom, accusing him and Sacramento of piling on policies and “taxing us to death.”

The backlash centers on draft regulations tied to the state’s Cap-and-Invest program, overseen by the California Air Resources Board, which sets a statewide cap on greenhouse gas emissions and requires major polluters to purchase allowances for each ton of carbon they emit.

Critics say tightening those caps — strongly backed by Newsom — could further drive up the cost of gasoline and diesel in a state where drivers already pay far more than the national average.

“Stop taxing us to death,” wrote Victoria Comfort in comments responding to the proposed regulations. “None of these taxes are helping Californians.

“They aren’t helping the environment. It’s policy that has screwed the oil and gas industry in CA and policy that is bankrupting Californians through more gas taxes, already the highest in the nation.”

According to the California Energy Commission, the Cap-and-Invest program currently adds about 24 cents per gallonto the cost of gasoline in the Golden State.

Gas prices averaged around $4.80 per gallon in early March, compared with roughly $3.25 nationwide, according to AAA data.

The system works by limiting emissions from large polluters — covering roughly 80% of the state’s greenhouse gases — and forcing companies to buy allowances for each ton emitted. Each year, fewer allowances are issued, gradually tightening the cap.

Revenue from the program flows into California’s Greenhouse Gas Reduction Fund, which finances climate initiatives such as transit projects and environmental programs.

But critics argue the tightening rules could ripple through the fuel market and land directly on consumers.

Oil companies and energy groups have warned that stricter regulations could threaten the viability of California’s remaining refineries. In a letter to regulators, energy giant Chevron warned that the proposed amendments could “cripple the survivability” of the state’s refining industry, potentially leading to more shutdowns, job losses and higher fuel costs.

The company noted that the oil and gas sector supports more than 530,000 jobs statewide and contributes about $64 billion annually in tax revenue.

Meanwhile, environmental groups are urging regulators to go even further.

In a letter submitted to CARB, advocacy organization Biofuelwatch called on the board to close what it described as a “biogenic CO2 exemption loophole” that allows biofuel producers and distributors to avoid buying carbon allowances for certain emissions.

The group argues that these exemptions reduce demand for carbon credits and suppress carbon prices, costing the state potentially hundreds of millions of dollars in revenue.

Using 2024 emissions data, the organization estimated that more than 23 million tons of emissions linked to biogenic fuels were exempted from the program — representing as much as $593 million to $712 million in potential revenue depending on allowance prices.

But while policy experts debate the mechanics of the program, many California residents say they’re simply tired of paying more at the pump.

Some also blamed the state’s energy policies for weakening the local industry and increasing reliance on imports.

“California’s overseers managed the impossible: destroy in-state refining, kill high-paying local jobs, increase import dependence, and then pretend consumers are the problem,” said Michael Chavez. “Californians are not using less oil. They’re just being forced to buy the same energy through a dumber, weaker, more expensive supply chain.”

Other residents also argued the state is moving too aggressively toward electrification without the infrastructure or affordability to support it.

“California has a reputation for excessive regulations that make life expensive for all citizens, especially the poor,” wrote Brian Rohmer. “I cannot afford an electric vehicle and the infrastructure does not exist to support it.”

Ramona Bonitatis, a resident of Santa Clarita, said the proposed amendments would worsen an already painful reality for drivers.

“Gas prices in my neighborhood are already approaching over $5.00 per gallon,” she wrote in her comment to regulators. “This disparity punishes hardworking Californians every time we fill up while most other states enjoy prices in the $2–$3 range.”

Bonitatis urged officials to reject the amendments, warning that additional regulatory pressure could push prices even higher.

“California’s leaders must stop these burdensome regulations that disproportionately harm families and workers,” she said. “Stop taxing us to death.”

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