Newsom pushes to bring down California gas prices

MENLO PARK, Calif. - California lawmakers enter a special session on Wednesday, and one of their most anticipated conversations will be on a proposal to bring down gas prices in the state. 

It's not secret that gas prices in California are some of the highest in the nation.

According to AAA, the average price of a gallon of gas in California is $4.78, more than $1.50 more than the national average. 

Gov. Gavin Newsom blames oil companies for the big difference in cost. His idea is to enact rules for refineries to store backup oil in the event they need to shut down for maintenance.

Newsom said those maintenance shutdowns directly lead to price spikes, several of which occurred last fall.

He argues that if his plan had been in place last year, Californians could have saved millions, perhaps billions of dollars.

Industry leaders, however, counter that Newsom's idea would cost them more money, which would drive prices even higher. 

"Each one of these tanks costs $35 million," Catherine Reheis-Boyd, CEO of the Western States Petroleum Association, said earlier.  "And even if you could find the land to permit them and build them, you'd have to completely ignore CEQA [the California Environmental Quality Act] and all the requirements because it would take a decade."

Assemblywoman Cottie Petrie-Norris (D-Orange County), who is chairing the committee, said she's glad there are more sessions to discuss the issue.

"This is an opportunity for us to thoroughly understand this proposal and thoroughly vet this proposal," she said.

Regional governors from Arizona and Nevada are speaking against the proposal. They worry if Newsom's plan goes through, it will drive gas prices higher in their own states.

Newsom dismisses those criticisms even as some Republican lawmakers say they have better bills to bring down the price of gas.

One idea would be to suspend the state's gas tax for a year.

The first hearing on Newsom's proposal starts Wednesday afternoon.