California oil and natural gas mean growth. They mean jobs. And, Californians need ample, affordable and reliable energy to thrive – to power our homes, farms, businesses and schools, fuel our cars, and produce products that we need and use every day.

While other industries like entertainment and technology dominate headlines, the energy industry quietly elevates Californians to the middle class and provides affordable energy resources that improve the quality of our lives.

The oil and natural gas industry’s economic activity in the state is valued at around $72 billion. About $40 billion of that supports jobs in a wide range of sectors including construction, manufacturing and public safety.

Oil and natural gas have allowed hundreds of thousands of Californians to build companies and find meaningful work that has propelled them into the middle class. The industry directly employs 184,100 Californians from diverse backgrounds and all levels of the socio-economic spectrum, which translates into $23.3 billion per year in wages and salaries for oil and natural gas jobs. It offers jobs to workers of all education levels, including truck drivers, geophysicists, chemists and machinists.

The oil and natural gas sector reflects California’s diversity. Over a quarter of the statewide industry workforce is Latino (in Southern California that number grows to nearly 35 percent), versus just 7 percent Latinos employed in science, technology, engineering and mathematics (STEM) industries according to 2011 Census data. Over 13 percent of the oil and natural gas workforce is Asian and over 5 percent is African-American.

While many consider STEM the path to jobs of the future, the oil and natural gas industry creates job opportunities across the spectrum of educational attainment, regardless of economic background and access to higher education today. Statewide, one third of oil and gas workers have a high school diploma or less, and in Southern California, the number with only some college education or less is approximately 63 percent. The importance of an industrialized workforce cannot be discounted; not everyone can go to college, but everyone deserves the opportunity to ascend the economic ladder.

“Our 100-year supply of natural gas is a big factor in drawing jobs back to our shores.
Many are in manufacturing, the quintessential middle-class job.”
– President Barack Obama, October 2014.

In California, the average annual oil and natural gas industry salary of $118,032 is double the $56,590 average for other private industry jobs, according to a 2015 report by the Los Angeles Economic Development Corporation (LAEDC).

It is an industry with a long history of growth and investment in California, creating opportunities for professional growth and advancement.

An example of this is California Resources Corporation (CRC), which directly employs almost 5,000 California workers and contractors.

CRC is the state’s largest independent oil and natural gas exploration and production company. All its operations and assets are in California, including more than 2 million acres of California land in the Sacramento, San Joaquin, Ventura, and Los Angeles basins. As a spin-off from Occidental Petroleum Corporation, which spent nearly a century operating in California, CRC has employed generations of Californians, from office workers in Long Beach to rig operators living in Bakersfield.

In 2013, the industry supported 456,000 jobs.

The industry employs workers with various levels of education.

Statewide, one third of the oil industry workforce has a high school diploma or less formal education.

In Southern California, approximately 63% of the workforce does not have a college degree.

From office workers to rig operators, the industry offers a variety of jobs across the state and a path to the middle class.

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In 2013, the industry supported 456,000 jobs.

The industry employs workers with various levels of education.

Statewide, one third of the oil industry workforce has a high school diploma or less formal education.

In Southern California, approximately 63% of the workforce does not have a college degree.

From office workers to rig operators, the industry offers a variety of jobs across the state and a path to the middle class.

In total labor income alone, the oil industry injected $40 billion annually into the state’s economy, according to the LAEDC report. These salaries filter into the local economy through the vendors who work with the oil companies and the local businesses frequented by workers, including dry cleaners that launder their uniforms, favorite lunch spots and the mechanics who maintain their family vehicles. The oil industry supported 456,000 jobs in the state, or 2.1 percent of California’s employment, and generated more than $204 billion in direct economic activity. That is a contribution of 3.4 percent of the state’s $2.1 trillion gross domestic product, the LAEDC report shows.

In addition, U.S. oil and natural gas companies pay considerably more in taxes than the average manufacturing company. According to Standard & Poor’s research, in 2013 the oil and natural gas industry paid an average effective tax rate of 40.2 percent versus 22.3 percent for other S&P 500 industries such as healthcare, retail, utilities, media and pharma.

The state and local governments collects $21.2 billion in taxes from the industry annually.

The estimated value of the oil and gas industry in 2013 was $71.9 billion.

The oil industry generated about $204 billion in direct economic activity in 2013.

That’s 3.4% of the state’s $2.1 trillion GDP.

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The state and local governments collects $21.2 billion in taxes from the industry annually.

The estimated value of the oil and gas industry in 2013 was $71.9 billion.

The oil industry generated about $204 billion in direct economic activity in 2013.

That’s 3.4% of the state’s $2.1 trillion GDP.

In California, nearly $22 billion in state and local taxes collected in 2013 can be attributed to the oil industry, as well as $14.8 billion in sales and excise taxes, according to the LAEDC report, all of which help fund essential services and infrastructure that Californians rely on every day.

Californians consume about half the electricity per person that Oklahomans consume.

Californians consume about 557 kWh (kilowatt-hours) per month, while Oklahomans consume about 1142 kWh.

Despite consuming less electricity, Californians pay more per kWh.

Californians pay about 16.19 cents per kWh, while Oklahomans pay 9.68 cents per kWh.

As other states produce more expensive, renewable energy, the cost of electricity in California is likely to increase because the state imports 28% of its electricity.

Despite paying two-thirds more per kWh, Californians have lower average monthly electricity bills than Oklahomans due to our milder climate.

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Californians consume about half the electricity per person that Oklahomans consume.

Californians consume about 557 kWh (kilowatt-hours) per month, while Oklahomans consume about 1142 kWh.

Despite consuming less electricity, Californians pay more per kWh.

Californians pay about 16.19 cents per kWh, while Oklahomans pay 9.68 cents per kWh.

As other states produce more expensive, renewable energy, the cost of electricity in California is likely to increase because the state imports 28% of its electricity.

Despite paying two-thirds more per kWh, Californians have lower average monthly electricity bills than Oklahomans due to our milder climate.

Powering California | Presented by California Resources Corporation

Imagine a Day Without Oil