Media: California sliding into energy crisis amid Iran war

One of the largest U.S. oil companies, Chevron, has warned that the state of California is sliding into an energy crisis due to a U.S. and Israeli military operation against Iran, according to Bloomberg.

This situation is linked to the fact that the American state receives about 20% of its fuel from Asian countries, which in turn rely on energy shipments passing through the Strait of Hormuz.

Additionally, in recent years several refineries in the state have closed due to rising costs caused by new California regulations aimed at combating climate change, which have also reduced profits for oil companies. “California decided to rely on imports. This is a dangerous game,” Chevron noted.

Consumers in California, the agency reports, are more vulnerable than residents of most other states to sharp increases in energy prices due to the military operation in Iran. “They are already paying nearly $6 per gallon of gasoline compared to the national average of around $4,” the publication states.

Chevron believes that California authorities should declare an “energy emergency, reform climate and tax regulations, and support oil production within the state.”

On February 28, the U.S. and Israel launched a military operation against Iran, targeting major cities. The Islamic Revolutionary Guard Corps (IRGC), elite units of the Iranian armed forces, announced a large-scale retaliatory operation. On March 11, a representative of Iran’s central military headquarters, Khatam al-Anbiya, stated that Iran would not allow any oil shipments related to the U.S. and its allies to pass through the Strait of Hormuz, which handles roughly one-fifth of the world’s oil exports.