The proposal is in response to sales last summer, when the average price of a gallon of gasoline in California soared to a record high $6.48. Drivers in some places paid as much as $8 per gallon, prompting widespread outrage in an election year.
Newsom, a Democrat, reacted by attacking the oil industry, specifically the five companies that provide 97% of gasoline in the state. He asked the Democratic-controlled state Legislature to pass a new tax on oil company profits, arguing it would protect consumers by preventing price spikes.