[Torie]

In California, it is because we have a unique blend, mandated by law, and when the supplies get tight, the refineries find that it is a good time to shut down and make necessary repairs. The California gasoline market in a word is too friggin small to make it inconveniently economically difficult to partake of predatory practices.

[jwalsh07]

MTBE, yeah that was a fine idea by the environuts.

[Carry_Okie]

The California gasoline market in a word is too friggin small to make it inconveniently economically difficult to partake of predatory practices.

That's not exactly how it works.

The EPA sets the air quality standards as well as broad guidelines (such as approved gasoline formulations) for how those standards can be met. The California Air Resources Board (CARB) is in charge of dictating the formulation we use. CARB makes sure the specs are designed to be wildly different than the rest of the country (it's a political payoff). The owners (major stockholders) of those energy interests use their foundations to fund NGOs (principally the Natural Resources Defense Council) and pose as econuts to foist the regulations that most benefit their interests. The econuts make sure that building new capacity is difficult. That helps manintain the shortage. That makes the owners very happy.

NRDC was instrumental in the adoption of MTBE at every level of implementation (both State and Federal). If you are interested in more detail, please consider this post.