Louisiana Governor's Diesel Export Ban Proposal Meets Industry Pushback

Diesel prices in Lafayette, Louisiana have hit a record $6.05 per gallon, prompting Governor Jeff Landry to propose a 90-day ban on U.S. diesel exports.

The governor claims that halting exports would build up domestic supply and bring down diesel prices.

However, the state's own oil and gas industry has pushed back against the idea, arguing that it would force refineries to reduce production and cut off supplies of gasoline as well.

The Louisiana Mid-Continent Oil and Gas Association and the Louisiana Oil & Gas Association both expressed concerns about the proposal, citing a lack of pipeline capacity to redirect diesel supply.