Gas Station Inflation: Detailing the cost of California Fuel Standards

Center of the American Experiment releases its latest report, Gas Station Inflation: How the Walz Administration’s “Clean Fuel Standard” Would Increase Pain at the Pump.

The report was written to inform the general public and Minnesota elected officials about the high costs and immeasurably small benefits that a Clean Fuel Standard, which originated in California, would impose on Minnesota families and businesses.

The California Fuel Standard (CFS) creates a government mandate to reduce greenhouse gas emissions from the fuel sector every year. These mandated emissions reductions would come at a high cost.

Research from Stillwater Associates determined the CFS would cause the cost of gasoline and diesel fuel to increase by 20 cents per gallon in the near term and up to 54 cents per gallon by 2035. The CFS would force the average Minnesota household to spend an additional $210 to $570 per year, every single year at the pump.

These cost increases will harm rural families, single-parent households, and new arrivals to Minnesota the most because they already spend a higher portion of their budgets on energy costs than more affluent households. It is also important to note that none of the additional costs imposed on Minnesota families will pay for upgrading our roads and bridges.

Despite the high costs, the CFS will deliver zero measurable environmental benefits. The CFS seeks to reduce greenhouse gas emissions from Minnesota’s transportation sector by 20 percent by 2035. However, this reduction would only decrease future global temperatures by 0.0002° C by 2100, an amount so small it is impossible to measure with even the most sophisticated scientific equipment.

In summary, our research finds that this policy is all pain and no gain for Minnesota.

While the Walz administration is currently completing a report on the CFS, legislation greenlighting this new government mandate is being heard in the Minnesota House of Representatives next week Tuesday, March 29, 2022.

Take Action

Sign the petition below and tell members of the House Energy Committee that this policy would be economically punitive and environmentally immeasurable.