The Western States Petroleum Association (WSPA), the most powerful corporate lobbying organization in Sacramento, spent over $4.67 million, more than any other interest group, while lobbying state government in 2013, according to data released by the Secretary State’s Office and compiled by Capitol Weekly.
For close to a year, the companies that provide California with gasoline and diesel have warned that the state’s Low Carbon Fuel Standard is infeasible. A failure to recognize the implications of this warning risks potential fuel shortages and market disruptions in a few short years.
In response to these concerns, supporters of the standard argue the only thing making this regulation infeasible is the refusal of oil companies to invest sufficient dollars in the emerging fuels and technologies needed to make it work. This view was expressed with great clarity recently by venture capitalist Vinod Khosla who, perhaps inadvertently offered a compelling explanation why the low carbon standard cannot succeed.