Lombardo Warns Newsom Over Proposed Fuel Rules

Nevada Governor Joe Lombardo has sent a letter to California Governor Gavin Newsom raising concerns about new fuel regulations under consideration in California and the potential impacts on Nevada.

In a letter dated March 9 and addressed to Gov. Gavin Newsom, Nevada Gov. Joe Lombardo raised concerns about a draft Cap-and-Invest regulation proposed by the California Air Resources Board. He said the proposal could have significant implications for fuel supply stability across western states, particularly Nevada, which relies heavily on fuel produced by California refineries.

Lombardo wrote that affordable and reliable fuel is critical to Nevada’s economy and daily life.

“Affordable and reliable fuel is essential to our economy,” Lombardo said in the letter. “In Nevada, residents routinely travel long distances for work, school, and essential services.”

The governor noted that tourism, one of Nevada’s primary economic drivers, depends heavily on accessible travel by both car and air. Las Vegas, he wrote, serves as a major domestic and international travel hub and relies on a steady supply of jet fuel from California refiners.

He also emphasized the importance of diesel supplies for trucking routes that move goods throughout the Southwest.

“Trucking corridors that move goods throughout the Southwest depend on diesel supply that cannot be easily substituted,” Lombardo wrote. “Sudden price spikes or supply disruptions would reverberate immediately through food costs, construction, agriculture, manufacturing, and small businesses.”