Europe is facing more widespread fuel shortages heading into the summer as the war in the Middle East drags on, but shortfalls—especially for jet fuel—will soon spread to California and the broader West Coast as the global energy supply shock ripples across the world.
While the U.S. leads the world in crude oil production, California is not able to enjoy the bounty as much as the rest of the country. The Golden State—the fourth-largest economy in the world—essentially operates as an island sandwiched between the Pacific Ocean on one side and mountainous terrain on the other. That makes it difficult and expensive to build oil and fuel pipelines. A tougher regulatory environment and heightened fuel standards have also made the state’s refineries less economical over the years.
