Economic Pessimism is Growing in California

A recent Berkeley IGS Poll provides a sobering snapshot of voter sentiment in California: cost of living is the number one concern for voters across the board, with 35% naming it as the top issue facing the state. This outpaces even housing affordability and homelessness.

More than half of voters (54%) feel less hopeful about their financial future, and 48% report being worse off financially than a year ago. This sentiment trend cuts across party lines, although Democrats have seen the largest swing toward pessimism since August 2024, coinciding with Trump’s re-election. Still, cost sensitivity is not a partisan issue: Republicans, Democrats, and independents all rank it as the most urgent challenge.

For the oil and gas industry, Californians are clearly feeling financial pressure, and energy costs are a major contributor. Voters may not yet explicitly connect policy-driven fuel restrictions, refinery closures, and regulatory burdens to the rising cost of living. Still, the data suggests they are open to that narrative.

“Heading the list is the cost of living, which 35% of voters believe needs to be addressed. Other issues are also cited with some frequency including housing affordability (26%), homelessness (25%), crime and public safety (14%), jobs and the economy (12%), taxes (11%), immigration (10%), education and the public schools (10%), the state of our democracy (9%), and climate change/the environment (8%).”

Californians are desperate for economic relief. Our industry has a critical opportunity to position itself not as part of the problem but as a cornerstone of the solution.

What can the oil industry and policymakers do?

1. Reframe the Conversation Around Cost: Link rising gas and energy prices to restrictive policies, especially refinery shutdowns, import dependency, and excessive regulation. Use real-world impacts, like $6–$8 per gallon projections, to show the cost of political decisions.

   
   

2. Push for Permitting Reform: Advocate for expedited permitting and modernization of in-state production. Californians are worried about costs, not carbon metrics.

   
   

3. Oppose Refinery Closures: Highlight how reducing domestic refining capacity directly threatens fuel affordability and energy reliability.

   
   

4. Support Balanced Energy Policies: Voters aren’t asking for ideology; they want affordability. Champion an “all-of-the-above” energy strategy that includes domestic oil as part of the cost-control solution.