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From the California Energy Journal

Case Against BOEM Challenging Sable Restart Thrown Out (May 15, 20260 – A federal judge dismissed a lawsuit by two environmental groups challenging the restart of oil production on Sable Offshore Corp.’s three offshore platforms near Santa Barbara, ruling that the environmental groups lacked standing. Read more.

Additional California News and Analysis

Oil and gas

• Gubernatorial candidate Xavier Becerra received $500,000 from California Resources Corp, a major oil producer backing his run for governor. New York Post, May 15, 2026.

Commentary and analysis

• John Cox, “Competing assessments take different views of law enabling Kern oil permitting,” Bakersfield Californian, May 13, 2026.

Gasoline and fuels

• Gov. Gavin Newsom does not support proposals to suspend California’s gas taxes amid soaring gas prices following attacks by the United States and Israel on Iran, The Sacramento Bee, May 13, 2026.

• India’s cuts to alkylate exports could worsen California’s gasoline shortage and inflate California’s gasoline prices. The state’s only option may be waiving state fuel requirements to ease price pressure. Reuters, May 18, 2026.

EVs

• California launched a $1 billion rebate program to boost the sales of electric medium‑ and heavy‑duty trucks, using money from the state’s low-carbon fuel standard program. Office of the Governor, May 13, 2026. (DO ARTICLE ON THIS)

Power and utilities

• San Diego Gas & Electric is proposing a 140-mile, 500-kilovolt transmission line that would cut through Anza-Borrego Desert State Park, the largest state park in California. Opponents say it would threaten the desert landscape. Los Angeles Times, May 17, 2026.

Renewable energy

• The California Public Utilities Commission (CPUC) will vote June 11 on whether to finalize a proposed decision by an administrative judge rejecting changes to the Community Renewable Energy Program. CPUC Voting Meetings; Utility Dive, May 14, 2026.

Commentary and analysis

• Kenin M. Spivak, “California’s Democrats Advance China’s Energy Dominance,” Real Clear Politics, May 18, 2026.

Carbon and emissions

• California could become the first US state to introduce mandatory efficiency standards for replacement car tires in a move designed to cut emissions, improve air quality and save drivers money. The California Energy Commission is considering new rules that would require replacement tires to match the efficiency standards of those originally fitted to new vehicles. Energy Live News, May 18, 2026.

Legislation

The following bills were paused in committee.

• AB 1774 would require utilities to complete a one-time independent audit of all wildfire mitigation expenditures.

• AB 2338 would require the California Public Utilities Commission (CPUC) to require utilities to submit an inflation-constrained rate case scenario that does not exceed the projected federal social security beneficiary cost-of-living adjustment.

• SB 986 and SB 1161 would allow lawmakers to approve major regulations and include a new requirement for the California Air Resources Board to prepare and publish an economic impact assessment on climate rules. E&E News, May 15, 2026.

• SB 1215 would require electric utilities to install more electric vehicle charging stations at apartments.

• SB 1097 would streamline environmental reviews for renewable energy infrastructure.

Other legislative developments

• SB 905, an electricity rate bill, was amended to remove a program to reimburse electric utilities for investment in wildfire prevention projects.

Additional News and Analysis

Power and utilities

• NextEra Energy will buy Dominion Energy in an all-stock deal valued at nearly $67 billion, making the combined company the world leader in renewables and battery storage, the U.S. leader in natural gas generation, and second in nuclear power. CNBC, May 18, 2026.

Commentary and analysis

• Dan Gearino, Amy Green, Charles Paullin, “A Utility Mega-Merger Is All About Data Centers,” Utility Dive, May 18, 2026.

Renewable energy

• U.S. solar panel makers asked federal trade officials to investigate solar shipments from Ethiopia, alleging that companies are finishing ‌their products there to avoid import duties on Chinese-made goods. Reuters, April 12, 2026.

Oil and gas

• The US issued a new waiver allowing the sale of Russian crude oil and petroleum products already loaded on tankers. The waiver, which extends to June 17, will “help stabilize the physical crude market” and “provide the most vulnerable nations with the ability to temporarily access Russian oil currently stranded at sea.” Bloomberg, May 18, 2026.

Commentary and analysis

• “The looming energy crunch,” Financial Times, May 17, 2026.

• Pilita Clark, “The messy, chaotic and possibly quixotic quest to phase out fossil fuels,” Financial Times, May 15, 2026.

EVs

• The House Transportation and Infrastructure Committee released a highway bill that includes a fee on electric and hybrid vehicles. E&E News, May 18, 2026.

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From the California Energy Journal

California Seeks Preliminary Injunction to Stop Sable Pipeline Restart (May 8, 2026) – California filed a motion for a preliminary injunction to stop Sable Offshore Corp.’s restart of the Las Flores Pipeline System serving the offshore Santa Ynez Unit. California Attorney General Rob Bonta filed the motion on May 1, 2026, asking the court to revoke the federal order to restart the pipeline and to block the transportation of oil through the pipeline system. The pipeline, which was shut down following the 2015 Refugio oil spill, is critical to restarting oil production in the Santa Ynez Unit. Read more.

CEC Subpoenas Golden State Wind Over Federal Lease Buyout (May 11, 2026) – The California Energy Commission (CEC) issued an administrative investigative subpoena to Golden State Wind LLC on May 4, 2026, seeking records on its agreement with the U.S. Department of the Interior to abandon its offshore wind lease off the Central Coast of California. Read more.

Additional California News and Analysis

Oil and gas

• A spokesperson for the Office of the Department of Energy called California energy policies an “untenable threat to our national security, especially in a time of military conflict.” New York Post, May 5, 2026.

• The oil and gas industry spent $10.3 million lobbying California lawmakers and regulators in the first quarter of 2026. The Western States Petroleum Association spent $4.3 million, followed by Chevron at $3.7 million. Elk Grove News, May 11, 2026.

• Environmental groups announced plans to file a motion to intervene and join the state of California in opposing President Donald Trump’s order to reactivate Sable Offshore Corp.’s pipeline. Noozhawk, Santa Barbara Independent, May 7, 2026.

Commentary and analysis

• Edward Ring, “Can Oil Industry Lawsuits Compel Rational Energy Policy?,” California Policy Center, May 6, 2026.

Gasoline and fuels

• CEC Vice Chair Siva Gunda testified that California has enough fuel supply to meet demand for the next six weeks. KCRA, May 5, 2026.

Commentary and analysis

• Collin Eaton, “Think $6 Gas Is Bad? It’s About to Get Even Worse in California,” Wall Street Journal, May 11, 2026.

Power and utilities

• The Extended Day-Ahead Market’s prices are falling within expected ranges, according to the California Independent System Operator. Utility Dive, May 7, 2026.

• California energy leaders reported a generally positive outlook for summer 2026 grid reliability, citing major gains in battery storage, clean energy deployment, forecasting, and emergency preparedness following years of investment and planning. CEC, May 4, 2026.

Commentary and analysis

• Claire Barber, “California’s Battery Array Is as Powerful as 12 Nuclear Power Plants. Here’s What’s on the Horizon.,” Inside Climate News, May 5, 2026.

Carbon and emissions

• California’s cap-and-invest climate program is under continued scrutiny as state regulators weigh changes they say could help stabilize fuel prices and support refineries while keeping California on track to meet its climate goals. ABC News, May 6, 2026.

Additional News and Analysis

Energy production

• Total U.S. energy production increased to a new record of 107 quadrillion British thermal units (quads) in 2025, a 3.4% increase from the previous record set in 2024, according to new data in our Monthly Energy Review. Total production was driven by record-high production in natural gas, crude oil, natural gas plant liquids (NGPLs), and renewables. This was the fourth consecutive year in which the United States set a record for total energy production. EIA, May 11, 2026.

Oil and gas

• The oil market is in “a race against time,” according to Morgan Stanley, as factors that restrained price rises from the Iran war may come under strain if the Strait of Hormuz stays closed into June. Bloomberg, May 11, 2026.

Gasoline and fuels

• President Donald Trump said Monday he will move to suspend the federal tax on gasoline to help Americans shoulder surging fuel prices caused by the Iran war. Congress, however, would have to approve the move. AP, May 11, 2026.

Renewable energy

• President Donald Trump signed legislation to extend construction deadlines for hydropower projects. S. 1020, the “Build More Hydro” bill, would allow the Federal Energy Regulatory Commission to extend the construction start period for projects licensed before March 2020 by up to six years, in two-year increments. E&E News, May 12, 2026.

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Bill to Hold Oil Companies Liable for Climate Disasters Reintroduced (February…

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Trump Administration Sues to Overturn California Oil Setback, Citing Federal …

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Trump Administration Sues Petaluma and Morgan Hill Over Natural Gas Bans (Janu…

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Year in Review: Key Energy Bills from 2025 Legislative Session (December 31, 2025) – California passed hundreds of bills that address climate, energy …

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