New Release from the California Energy Commission

For Immediate Release: Janury 17, 1996
Media Contact: Claudia Chandler -- 916 - 654 - 4989

California Fuels Outlook...
Reformulated Fuel, Alternative Fuel Vehicles Play Vital Roles

Domestic and in-state oil production continues a downward trend, but it is unlikely for California to experience an oil crisis because of stable world crude reserves, the California Energy Commission said in its newly adopted 1995 Fuels Report.

The bigger challenge for California, the Commission's biennial report stated, is to maintain ample supplies of reformulated gasoline and diesel to fuel 23.2 million registered vehicles on the road.

According to the report, sliding California and Alaska oil production, despite the recent lifting of the export ban on Prudhoe Bay crude, may result in increased foreign imports. The report also said with 20 fewer California refineries since 1982, existing refineries increased their utilization rate from 71 percent to 95 percent to make up for the closures.

To ensure adequate supplies of California-specific reformulated gasoline mandated by the California Air Resources Board (CARB) by June 1996 in line with federal and state air standards, the report said the Energy Commission will analyze statewide refinery capacity, output, and the supply and demand balance during the transition period and beyond.

Refiners are expected to produce reformulated gasoline by the target date and production, barring unforeseen outages of substantial duration, will be adequate to meet anticipated demand.

In other related issues, the report stated:

Copies of the report will be available in four to six weeks. To obtain a a free copy, contact the Commission's Publications Unit at (916) 654-5200 and ask for publication number P-300-95-017. The Executive Summary of the report will be available on the Energy Commission's Internet.

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