Questions, comments, or tips? Contact editor@californiaenergyjournal.com.

From the California Energy Journal

Federal Court Allows California Oil Setback Law to Remain in Effect (April 2, 2026) – A federal district court denied the Trump administration’s request to block California’s oil and gas setback law, allowing the state to continue enforcing restrictions on drilling near homes, schools, and hospitals. Read more.

NRC Approves Diablo Canyon License Extension to 2045, Shifting Decision to California Legislature (April 6, 2026) – The U.S. Nuclear Regulatory Commission (NRC) approved a 20-year operating license renewal for the Diablo Canyon Power Plant, authorizing operations for the two units until the mid-2040s. State law, however, currently limits operations to 2029 and 2030 unless the state legislature authorizes a further extension. Read more.

Additional California News and Analysis

Refineries and gasoline

• California’s gas prices receive international attention as the Financial Times reported on the state “confronting sky-high petrol prices and the threat of jet fuel shortages because of disruption caused by the Iran war, exposing US energy insecurity as the Strait of Hormuz remains closed.” Financial Times, March 31, 2026.

• CBS interviews California 2026 governor candidates to discuss oil production, refineries, gasoline prices, and environmental policy. CBS News, April 6, 2026.

Commentary and analysis

• Tony Strickland, “With Californians paying sky-high gas prices, now’s not the time for new oil regulations,” Cal Matters, March 31, 2026.

Oil and gas

• California Attorney General Rob Bonta joined the California Natural Resources Agency in submitting a comment letter, reaffirming opposition to the federal government’s Outer Continental Shelf Oil and Gas Leasing Draft Proposed Program. Office of Attorney General, March 31, 2026.

Commentary and analysis

• Talia Nimmer, Trump crossed an oily line of state sovereignty in California — your state is next,” The Hill, April 4, 2026.

EVs

• The chair of the House Energy and Commerce Committee announced a subpoena for the California Air Resources Board, which he accused of not cooperating with an investigation into whether the state is still enforcing repealed EV sales rules. He said CARB has denied car manufacturers approval to sell in the state unless they follow the repealed standards. Politico, March 31, 2026.

AI and data centers

Commentary and analysis

• Nilesh Christopher, “‘You’re a liar.’ Why the world’s biggest building boom has run into a wall in California,” Los Angeles Times, April 2, 2026.

Additional News and Analysis

Oil and gas

• The oil supply shock will be worse in April than in March, according to IEA Chief Fatih Birol. The IEA is weighing another release of strategic oil reserves. CNBC, April 1, 2026.

• Five European ​Union countries are calling for a windfall tax on energy companies’ profits in reaction to rising fuel prices due ‌to the Iran war. Reuters, April 4, 2026.

• The Trump administration is proposing to combine the Bureau of Ocean Energy Management and the Bureau of Safety and Environmental Enforcement into a single agency, the Minerals Management Service. The Hill, April 6, 2026.

Commentary and analysis

• June Yoon, “Will $100 oil speed up the EV shift?,” Financial Times, April 1, 2026.

Questions, comments, or tips? Contact editor@californiaenergyjournal.com.

From the California Energy Journal

BOEM Moves to Fast-Track Environmental Review for Offshore Fracking at Platform Gilda (March 26, 2026) – The Bureau of Ocean Energy Management (BOEM) has initiated a fast-tracked environmental review that could allow hydraulic fracturing, known as fracking, at Platform Gilda in federal waters off California. Read more.

California Report Outlines Framework to Manage Data Center Power Demand (March 27, 2026) – A California oversight agency is proposing a new policy framework to manage the rapid growth of energy-intensive data centers while protecting ratepayers and maintaining the state’s clean energy targets. Read more.

Additional California News and Analysis

Oil and gas

• Sable Offshore Corp. initiated oil sales on March 29, 2026, Sable. The Santa Ynez Pipeline System was filled from Las Flores Canyon to Pentland Station at a rate in excess of 50,000 barrels of oil per day. Sable Offshore; New York Post, March 30, 2026.

• California congressmembers said the Trump administration’s push for more offshore oil drilling off the California coast could imperil military readiness, foul crucial training waters, and gamble with an economy built on the coast, tourism, fishing, and clean access to the sea. Santa Barbara Independent, March 27, 2026.

• Chevron Corp. is planning to buy some of the first shipments of crude from Sable Offshore Corp.’s platforms off the coast of Santa Barbara, weeks after the Trump administration green-lit the restart of production. Bloomberg, March 24, 2026.

• Chevron is in the process of decommissioning the Carpinteria Processing Facility, which has been standing since the 1960s. Over the course of about three years, the inactive oil and gas infrastructure will be removed, and the land will be restored to a residential standard. Santa Barbara Independent, March 25, 2026.

Commentary and analysis

• Andy Caldwell, “The Collateral Damage from the War on Oil!,” California Globe, March 25, 2026.

• Jake Bittle, “California’s fossil fuel phaseout has left it vulnerable to the Iran oil shock,” Grist, March 27, 2026.

• VIDEO: “It’s time to ‘drill, baby, drill’,” Ingraham Angle, Fox News, March 25, 2026.

Refineries and gasoline

• Chevron Corp. is warning that California is heading toward an energy crisis because of the Iran war and may quit refining oil in the state unless officials roll back taxes and regulations. Chevron’s oil refining head Andy Walz said California officials should declare an “energy emergency” to reform its climate and tax rules and promote in-state oil production. Bloomberg, March 24, 2026.

• Chevron said it is threatening to close its oil refineries in California due to taxes, emissions rules and other regulations, which the oil company said is contributing to price spikes amid the war in Iran. The Hill, March 25, 2026.

Commentary and analysis

• Katy Grimes, “California’s Oil and Gas Crisis: Expert Warns of Full Scope of the Potential Danger,” California Globe, March 38, 2026.

• VIDEO: “California Fuel Supply At Risk | Here’s Why,” California Insider, March 26, 2026.

• Mothusi Paul, “The Sovereignty Trap: How California’s Refinery Decline Exposes the State’s Most Valuable Asset to Federal Preemption,” Alliance of Innovation and Infrastructure, March 2026.

Batteries and storage

• Arevon Energy has started building its 250MW/1,000 MWh Cormorant battery energy storage system (BESS) project in Daly City, California. It will come online in 2027, requires investment of US$600 million and has a long-term offtake with utility MCE. Energy Storage News, March 24, 2026.

Wind and solar

• The Kern County Board of Supervisors voted 4-0 vote in favor of the Buttonbush Solar and Storage, a 2-gigawatt photovoltaic installation and California’s largest solar energy project. Bakersfield Californian, March 24, 2026.

Biofuels

• The California Public Utilities Commission has conditionally approved a long-term renewable natural gas (RNG) supply contract tied to Anaergia’s SoCal Biomethane facility, marking the first project to move forward under the state’s SB 1440 biomethane procurement program. Pipeline & Gas Journal, March 20, 2026

EVs

Commentary and analysis

• Deborah A. Sivas, “California Should Prioritize Electric Vehicle Incentives, Not Biofuel Subsidies,” Stanford Law School, March 23, 2026.

Nuclear

Commentary and analysis

• John Grubb and Vidya Schalk, “California should extend Diablo Canyon nuclear plant’s lifespan to address state’s energy needs,” San Francisco Chronicle, March 30, 2026.

Legislation

• SB 1035 failed to pass out of the Senate Environmental Quality Committee. The bill would have suspended the state’s gasoline tax for one year, suspend the Low Carbon Fuel Standard regulations for one year, and exempt fuel suppliers from the state’s cap-and-trade program for one year.

• SB 1359 was amended to include a number of new requirements on natural gas infrastructure, including that natural gas services are “consistent with the state’s greenhouse gas emission reduction mandates and policies promoting building electrification…”

• SB 1097 would streamline environmental reviews for renewable energy infrastructure. A placeholder bill was introduced in February.

• SB 1233 would require utilities to report additional information to state regulators when proposing a rate increase. A placeholder bill was introduced in February.

• SB 931 would require the California Public Utilities Commission (CPUC) to ensure the continued full funding of the Community Impacts Mitigation Program for the extended operation of the Diablo Canyon nuclear powerplant.

• 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.

Additional News and Analysis

Wind and solar

• The Trump administration is seeking to halt the remaining offshore wind projects in the US, offering buyouts to companies that are developing them in exchange for fossil-fuel investments. Financial Times, March 27, 2026.

Oil and gas

Commentary and analysis

• Todd Woody, “Iran War Is Pushing Consumers to Break Up With Fossil Fuels,” Bloomberg, March 25, 2026.

Questions, comments, or tips? Contact editor@californiaenergyjournal.com.

From the California Energy Journal

California Brings Multiple Legal Challenges to Block Sable Pipeline Restart (March 19, 2026) – California launched a legal effort to stop Sable Offshore Corp.’s restart of the Las Flores Pipeline System serving the offshore Santa Ynez Unit. The response to the recent restart of the pipeline system could signal an escalating conflict between California and the Trump administration over federal emergency powers and state environmental authority. Read more.

California, Washington, Quebec Publish Draft Agreement on Carbon Markets (March 20, 2026) – California and Washington state released a draft agreement outlining how their carbon emissions trading programs could be linked. This step would expand the existing California–Québec cap-and-trade market and potentially create a larger West Coast carbon market. Read more.

California Sues to Block Federal Order Restarting Sable Pipeline (March 23, 2026) – California has filed suit to block a federal order directing Sable Offshore Corp. to restart the oil pipeline system serving the offshore Santa Ynez Unit. The suit escalates a legal dispute over the Trump administration’s use of emergency powers to override state energy and environmental controls. Read more.

Additional California News and Analysis

Oil and gas

• The Trump administration dropped a lawsuit against two Northern California cities after council members rescinded ordinances that could have been used to ban gas hookups in new construction. E&E News, March 24, 2026. (see earlier coverage Trump Administration Sues Petaluma and Morgan Hill Over Natural Gas Bans.)

Commentary and analysis

• Blanca Begert, “Oil prices are skyrocketing, but this is why companies won’t rush to drill in California,” Los Angeles Times, March 14, 2026.

• David S. Secrest, “Trump to California’s Courts: Drop Dead,” Santa Barbara Independent, March 16, 2026.

Gasoline and fuels

• Democratic gubernatorial candidates Matt Mahan and Antonio Villaraigosa are among those are calling on the California legislature to eliminate the state excise tax on gasoline for the time being. NBC, March 17, 2026.

Commentary and analysis

• Alejandro Lazo, “California passed a law to curb spikes in gas prices. Why isn’t it using those powers now?,” Cal Matters, March 13, 2026.

• Matthew Zeitlin, “Why Gas in California Is Almost $6 a Gallon — and Could Go Higher,” Heatmap, March 19, 2026.

Wind and solar

Commentary and analysis

• Jeff St. John, “The fight over California’s community solar plan is heating up,” Canary Media, March 17, 2026.

• Jeff St. John, “‘We’re harvesting the sun’: A huge solar project grows in California,” Canary Media, March 24, 2026.

Data centers and AI

• Two data center bill passed out of the California Senate Energy Utilities and Communications Committee. SB 886 would establish a tariff on data centers to protect ratepayers from the increased costs of supplying data centers; and SB 978 would require the CPUC to establish a special rate structure for large-scale energy users, who would be defined as customers of electrical corporations operating facilities with operational requirements of at least 75 megawatts of electricity.

• Lake Tahoe’s longtime power supplier, NV Energy, will cut off the region next year. It has said data centers are driving “unprecedented” demand. Cal Matters, March 20, 2026.

Carbon emissions

• California is challenging the Trump administration’s repeal of the U.S. EPA’s 2009 Endangerment Finding, which provides the legal basis for the agency to regulate greenhouse gas emissions. Governor’s Office, March 19, 2026.

Power and utilities

• “Replacing California’s Peaker Plants with Long-Duration Energy Storage,” Kleinman Center for Energy Policy, March 23, 2026.

Additional News and Analysis

Wind and solar

• Senior administration officials are drafting settlement agreements that would pay nearly $1 billion to TotalEnergies, the French energy company behind two wind farms off New York State and North Carolina, according to documents reviewed by The New York Times, including copies of the agreements. New York Times, March 17, 2026; Yahoo, March 18, 2026.

Oil and gas

• President Donald Trump issued a 60-day waiver of the Jones Act, which requires that the transport of goods between U.S. ports must be conducted by U.S. vessels, in an attempt to stabilize oil markets amid the Iran war, the White House confirmed to CNBC. The waiver “will allow vital resources like oil, natural gas, fertilizer, and coal to flow freely to U.S. ports for sixty days.” CNBC, March 18, 2026.

• The International Energy Agency has declared the current disruption in oil, gas, and key commodities resulting from the Iran war the most severe energy crisis on record, surpassing the shocks of the 1970s and the Russia-Ukraine war. MSN, March 23, 2026; FT, March 20, 2026.

Commentary and analysis

• “Iran war will scar the global economy,” FT, March 20, 2026.

Nuclear

• The nuclear industry is poised to capitalise on Donald Trump’s war in Iran, as governments around the world seek more stable low-cost sources of energy and rethink prior resistance to atomic power. FT, March 12, 2026.

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From the California Energy Journal

CPUC Orders 6,000 MW of New Clean Energy and Storage Procurement Through 2032 (March 11, 2026) – The California Public Utilities Commission (CPUC) approved a major electricity procurement decision requiring utilities and other retail electricity providers to secure 6,000 megawatts (MW) of new clean energy and storage capacity between 2030 and 2032. The procurement decision aims to accelerate project development before federal clean-energy tax incentives begin phasing down. Read more.

Trump Administration Sues California over Electric Vehicle Mandate (March 13, 2026) – The Trump administration is suing the California Air Resources Board (CARB) to block enforcement of the state’s vehicle emissions rules. The U.S. Department of Justice (DOJ) argues that the state’s fleetwide CO2 emissions regulation and zero-emission vehicle (ZEV) sales mandate conflict with federal law governing fuel economy standards. Read more.

Trump Administration Directs Sable to Restart Santa Ynez Unit Pipeline, Citing National Security (March 16, 2026) – The Trump administration directed Sable Offshore Corp. on March 13, 2026 to restart the oil pipeline system serving the Santa Ynez Unit offshore oil field, citing national security concerns and the need to strengthen domestic energy supply on the West Coast. Under the directive, Sable began transporting oil from the Santa Ynez Unit through the Las Flores Pipeline System from Las Flores Canyon in Santa Barbara County to Pentland Station in Kern County. Read more.

Additional California News and Analysis

Oil and gas

• California Republican gubernatorial candidate Steve Hilton urged the leaders of California’s oil and gas industry to “not give up” on the state. The letter promises a sweeping overhaul of energy policy if the former Fox News host wins the governor’s race next year. New York Post, March 10, 2026.

• Fossil fuel projects are sprinting through the permitting process under President Donald Trump, but it’s unclear whether that will lead to a bumper crop of pipelines, mines and oil wells. E&E News, March 10, 2026.

• Oil drillers in central California are trucking crude barrels 50 miles after a refinery shut down and a key pipeline was idled, cutting off outlets for their products. The shutdown of the San Pablo Bay Pipeline has created a regional glut and is squeezing margins for California oil producers, with Kern crude selling at a $10 discount to Brent. Bloomberg, March 12, 2026.

Commentary and analysis

• “California Has an Oil and Gas Problem,” Wall Street Journal, March 16, 2026.

• Clark Savage, “California Is a National Security Risk of Gavin Newsom’s Making – The Iran Conflict is Exposing the National Security Crisis,” Energy News Beat, March 10, 2026.

• Debra Montalvo Layton, “By stifling local oil production, California leaves itself vulnerable,” Los Angeles Times, Letters to the Editor, March 11, 2026.

Gasoline and fuels

• As gas prices are on the rise, San Jose Mayor Matt Mahan, who is running for governor of California, called on Sacramento to temporarily suspend the state’s gas tax. NBC, March 13, 2026.

• Governor Gavin Newsom blamed President Trump for “triggering a global oil and gas price spike with no plan to protect American families from the fallout.” Governor’s Office, March 10, 2026.

• A plan to increase jet in Gov. Gavin Newsom’s budget is triggering warnings of higher gas prices. But looming behind the proposed tax credit is the fear that without it, California could lose another refinery at a precarious moment for the global fuels market. Politico, March 10, 2026.

• Rep. Fong, a Republican representing California’s 20th Congressional District, called on Gov. Gavin Newsom, California Air Resources Board Chair Lauren Sanchez, and California Energy Commission Vice Chair Siva Gunda to reconsider the implementation of CARB’s Cap-and-Invest proposal. He warned that it could drive up gas prices and threaten refinery operations. Fox 26, March 11, 2026.

Commentary and analysis

• Noah Baustin, “Gavin Newsom wants to hand Donald Trump his gasoline price problem,” Politico, March 13, 2026.

EVs

• The California Air Resources Board told a state Assembly budget hearing that Gov. Gavin Newsom’s proposed electric vehicle rebate program could offer an incentive ranging from $1,500 to $7,500, but that a $3,500 incentive could strike the best balance. Politico, March 11, 2026.

Wind and solar

• The California First Appellate District Court of Appeal upheld the California’s third-generation net metering system, known as NEM 3.0. The California Public Utilities Commission adopted the framework in 2022 to make rooftop solar users pay for a larger share of the fixed cost of maintaining the electricity grid. First Appellate District Court of Appeal; Utility Dive, March 10, 2026.

• Santa Barbara’s Planning Commission is consider new rules for solar power. The county staff presented a tier system to define and regulate solar power development. Santa Barbara Independent, March 16, 2026.

Commentary and analysis

• Kathryn Krawczyk, “A chapter of California’s rooftop solar battle closes,” Canary Media, March 13, 2026.

Renewable energy

Commentary and analysis

• Alison F. Takemura, “Did fake comments sink SoCal clean heat rules? Advocates want answers.,” Canary Media, March 16, 2026.

Power and utilities

• Assemblymember Tasha Boerner introduced amendments to AB 1677, which, with the new amendments, would limit the return on equity for utilities at 4% above the rate on long-term debt issued by the federal government.

Commentary and analysis

• Jeff St. John, “As Californians electrify, can this tech combo prevent grid overload?,” Canary Media, March 10, 2026.

Carbon emissions

• Nevada Gov. Joe Lombardo, California gubernatorial candidate Antonio Villaraigosa and state Democratic lawmakers are all piling on California’s climate regulators out of concern that new proposed rules for the state’s carbon emissions market will spike gas prices and drive in-state refineries out of business. E&E News, March 12, 2026; KCRA, March 15, 2026.

• California is turning to rules that would hold pollution magnets like warehouses, ports and railyards accountable for the trucks and ships they attract to replace clean air authority lost to federal rollbacks. Cal Matters, March 16, 2026.

Commentary and analysis

• Dan Walters, “As gas prices soar, California’s new carbon emission rules prompt a war of words,” Cal Matters, March 12, 2026.

• Hayley Smith, “Fuel, energy prices raise the pressure as California officials take next steps on climate,” Los Angeles Times, March 13, 2026.

Legislation

• SB 913, a recently amended bill, would enhance existing market-integrated pathways for aggregated distributed capacity resources to qualify as resource adequacy capacity. The bill would require the PUC to allow electrical corporations, electric service providers, and community choice aggregators to include aggregated distributed capacity resources in resource adequacy filings and commission-ordered procurement, as specified.

Additional News and Analysis

Carbon emissions

• The European Commission is considering relaxing carbon-permit supply rules and allowing more state aid to cut spiking power prices. The commission is exploring options such as temporarily easing rules on granting free emissions permits and allowing lower grid fees and energy taxes. Bloomberg, March 12, 2026.

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From the California Energy Journal

DOJ Says Defense Production Act Order Could Override State Barriers to Oil Production and Pipeline Operation (March 6, 2026) – The U.S. Department of Justice issued a legal opinion concluding that a presidential order on energy production issued under the Defense Production Act (DPA) could preempt conflicting state laws under the Constitution’s Supremacy Clause. The U.S. Department of Energy requested the opinion in connection with Sable Offshore Corp.’s ongoing efforts to restart offshore oil production from the Santa Ynez Unit. Read more.

CARB Approves Regulations Implementing California’s Emissions Reporting Laws (March 4, 2026) – The California Air Resources Board (CARB) voted on February 26, 2026 to approve regulations implementing California’s landmark corporate climate disclosure laws, establishing compliance timelines and administrative rules for companies subject to the requirements. The regulations confirm that companies must submit their first emissions disclosures by August 10, 2026. Read more.

Timeline: Sable Offshore and the Las Flores Pipeline System (March 4, 2026) – A new, continuously updated timeline tracking legal and regulatory developments in California’s ongoing legal and political relations with Sable Offshore Corp. and the potential restart of offshore oil drilling. Read more.

Additional California News and Analysis

Oil and gas

• VIDEO “State Sen. Suzette Valladares says California is in a ‘death spiral’ on oil and gas,” California Politics 360, KCRA, March 8, 2026.

• Robert Rapier, “Pipeline Gaps and Refinery Shifts Expose California’s Energy Vulnerability,” Oil Price.com, March 6, 2026.

• Chevron said the proposed amendments to the cap-and-invest regulation “will cripple the survivability of the state’s remaining refineries, which will result in California losing the entire industry to this misguided program.” In a letter to state policy leaders, the company said the regulation “will increase transportation and aviation fuel prices for consumers. It will risk significant job losses, including many high‑paying union jobs, while reducing funding for essential public services. It will upend California’s fuels market and threaten critical energy and national security assets.” Chevron, March 9, 2026. (see CARB Proposes Amendments to California’s Cap-and-Trade Rules).

• The idling of San Pedro Bay Pipeline has revived concerns that lower pipeline volumes that started with a slowdown in oil permitting, and have since contributed to refinery closures, could cause lasting damage to California’s petroleum infrastructure and, by extension, the local industry. Bakersfield Californian, March 4, 2026.

Wind and solar

• Texas passed California to become the leader in utility-scale solar. U.S. Energy Information Administration for 2025 shows that Texas generated 58,634 gigawatt-hours from utility-scale solar, enough to pull ahead of California’s 53,713 gigawatt-hours. Inside Climate News, March 5, 2026.

Commentary and analysis

• California has built only 34 community solar projects since 2015, while other states have seen significant growth. Los Angeles Times, March 5, 2026.

Power and utilities

• California energy officials told the state’s utilities and other electricity providers that they must sign more contracts with renewable energy companies in an effort to boost investment before cuts to incentive programs by the Trump administration take hold. E&E News, March 2, 2026.

Commentary and analysis

• Tracy Hernandez, “California’s new governor must hold down clean energy costs, drive innovation,” Cal Matters, March 4, 2026

Carbon emissions

Commentary and analysis

• “Gavin Newsom’s Climate Tax Hike: His regulators are cutting allowances for his tax-and-cap policy.,” Wall Street Journal, March 4, 2026.

Legislation

• AB 1975, a recently amended bill, would require the California Energy Commission to establish a grid utilization metric that calculates electrical load as a percentage of rated capacity. Large electrical utilities would be required to submit a publicly available report to the CEC with the results of the large electrical corporation’s grid utilization metric calculations. The bill is designed to encourage utilities to use existing energy resources and the existing grid.

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From the California Energy Journal

CEC Report Warns California’s Reliance on Imported Energy Creates Supply Risks (February 25, 2026) – A new state energy security report warns that California’s heavy reliance on imported electricity and fuels exposes the state to potential supply disruptions as energy demand grows and infrastructure changes. The California Energy Commission (CEC) in December 2025 released an updated California Energy Security Plan, evaluating risks across the state’s electricity, natural gas, and transportation fuel systems. Read more.

Court Upholds Injunction Blocking Restart of Sable Offshore Pipeline (March 2, 2026) – On February 27, 2026, Santa Barbara County Judge Donna Geck intends to uphold a preliminary injunction that blocks Sable’s restart of the Las Flores Pipeline system. Sable challenged a July 2025 preliminary injunction against the Office of the State Fire Marshal (OSFM), finding that it likely violated state law in its approval of a waiver that allowed Sable to restart the pipeline. Read more.

BOEM Launches Environmental Review for Potential California Offshore Lease Sales (February 27, 2026) – The U.S. Bureau of Ocean Energy Management (BOEM) announced that it will begin preparing a programmatic environmental impact statement (PEIS) for potential oil and gas lease sales off the coast of California. The review encompasses the Northern, Central and Southern California Planning Areas of the Outer Continental Shelf (OCS). Read more.

Additional California News and Analysis

Oil and gasoline

• The Phillips 66 Los Angeles Refinery could be a test case for how the state and local governments should handle refinery closures, experts say. Daily Bulletin, March 2, 2026.

• Refinery closures in California are resulting in more sea-borne gasoline imports to the state. Imports of California’s boutique gasoline fuel are coming from India, South Korea, and even the Bahamas, as West Coast refineries are shipping petroleum products to California via the Bahamas to comply with the Jones Act. IER, February 26, 2026.

• Crimson California Pipeline LP requested that the California Public Utilities Commission (CPUC) authorize it to increase crude oil transportation rates on its southern California pipeline system by 66.97%, retroactively effective as of April 1, 2026. CPUC, February 27, 2026; California Regulatory Intelligence, February 27, 2026.

• Some state lawmakers are proposing a temporary pause to California’s gas tax as prices at the pump continue to rise, leaving drivers in the state paying among the highest fuel costs in the country. KFSN, February 25, 2026.

Commentary and analysis

• Matthew Green, “An oil refinery defined life in this quaint California city. What happens when it’s gone?, The Guardian, February 26, 2026.

• Damien Newton, “Republican’s Demagogue on Suspending Gas Tax and Climate Fuel Rules — Again,” StreetsBlogCal, February 25, 2026.

Offshore oil

• A coalition of 38 California Democratic congressional lawmakers sent a letter to Trump and Interior Secretary Doug Burgum asking that the administration extend the public comment period on proposed offshore oil and gas leases off the California coast by 90 days. Politico, February 23, 2026; Santa Barbara Independent, February 24, 2026.

• California Natural Resources Agency Secretary Wade Crowfoot sent a letter to the BOEM to express opposition to new lease sales off the California coast. Politico, February 24, 2026.

Nuclear

• Central Coast Water authorities approved waste discharge permits for Diablo Canyon nuclear plant, making it nearly certain it will remain running through 2030, and potentially through 2045. The Pacific Gas & Electric-owned plant was originally supposed to shut down in 2025. Los Angeles Times, Sacramento Bee, February 26, 2026.

Commentary and analysis

• Lauren Hanson and Mary Jones, “Diablo Gets Its Permits,” Santa Barbara Independent, February 28, 2026.

• Sarah Rosa, “Not a Moment Too Soon, California moves to embrace nuclear energy,” Orange County Register, February 26, 2026.

Power and utilities

• The California Public Utility Commission voted unanimously to order state load-serving entities to procure a total additional 6 GW from 2029 to 2032 to cover an anticipated reliability shortfall resulting from demand growth. Utility Dive, February 27, 2026; CPUC, March 2, 2026.

Commentary and analysis

• Ben Christopher and Alejandro Lazo, “California wants millions of heat pumps. High power bills might get in the way,” CalMatters, February 23, 2026

Carbon reporting

• CARB approved a climate transparency regulation package tied to SB 253 and SB 261 at its February 26, 2026 board meeting, including a fee structure and setting August 10, 2026 as the first-year SB 253 reporting deadline (with initial-year reporting limited to Scope 1 and Scope 2. CARB, February 26, 2026.

Alternative fuels

• Aaron Smith, “High Costs and Few Benefits from California’s Proposed Sustainable Aviation Fuel Tax Credit,” Energy Institute Blog, February 24, 2026.

Energy policy

Commentary and analysis

• Edward Ring, “Can Energy and Water Interests Find a Common Agenda?,” California Policy Center, February 25, 2026.

Legislation

• State senators introduced new legislation in an “electricity and gasoline affordability legislative package:

• SB 929 would require the chair of the California Energy Commission to appear annually before the appropriate policy committees of the Legislature to report on activities of the commission.

• SB 1239 would require the California Air Resources Board (CARB) to prepare and publish a supplemental standardized regulatory impact analysis if the proposed regulation is materially changed after release of the initial standardized regulatory impact analysis and that updates the consumer cost analysis to reflect amendments made during the rulemaking process.

• SB 981 would require a standardized regulatory impact analysis prepared by CARB to additionally address cost of living impacts on residents of the state, including, but not limited to, retail gasoline and transportation costs, consumer electric bills, consumer goods and food costs, housing and building construction costs, and costs to businesses.

Additional News and Analysis

Data centers and AI

• In his State of the Union, President Donald Trump said technology companies will pay for their own power generation as electricity prices rise. E&E News, February 25, 2026.

• The House passed legislation Tuesday that would give the federal government new authority to repeal existing energy efficiency standards while making it more difficult to adopt new ones in the future. E&E News, February 25, 2026.

Commentary and analysis

• Hayley Smith, “Trump’s plan for rising energy costs: Pump oil, make data centers pay,” Los Angeles Times, February 25, 2026.

Questions, comments, or tips? Contact editor@californiaenergyjournal.com.

From the California Energy Journal

New Bills Target a Range of Energy Issues, with a Focus on Affordability (February 23, 2026) – Legislators introduced an array of new legislation in the 2026 legislative session. With the February 20 deadline for new bills, several policy themes begin to emerge with several areas continuing from the 2025 session. Read more.

Additional California News and Analysis

Power and utilities

• Governor Gavin Newsom announced new leaders at state energy regulators that reportedly will focus on energy affordability. This includes John Reynolds as the president of the California Public Utilities Commission (CPUC). Office of the Governor, February 18, 2026. CalMatters, February 19, 2026.

• Some Altadena residents learned they must pay $20,000 or more to connect to Edison’s buried lines. Edison says the undergrounding will make the town’s electrical grid safer and more reliable. Los Angeles Times, February 17, 2026.

Commentary and analysis

• Liang Min, Jessica Hogle, “Fixing California’s aging electric grid could spike your PG&E bill. Or we could let data centers pay,” San Francisco Chronicle, February 15, 2026.

• Liang Min and Jessica Hogle, “Fixing California’s aging electric grid could spike your PG&E bill or we could let data centers pay,” MSN, February 19, 2026.

Oil and gas

• State Senator Suzette Valladares called for a special legislative session on rising gas prices and the policy decisions driving them. She also introduced several bills in an “affordability package.” State Senator Suzette Valladares, February 18, 2026.

Commentary and analysis

• Suzette Valladares, “California’s energy transition is failing the middle class — and we need to admit it,” Orange County Register, February 15, 2026.

• “Newsom’s Climate Policy Backfires: As refineries close, California is importing more foreign oil.,” Wall Street Journal, February 20, 2026.

• US supplies of gasoline are being shipped out of the country to travel thousands of miles via the Bahamas before finally ending up in California, a state battling shrinking fuelmaking capacity and high pump prices. Shipments on the circuitous route are increasing. California imported more gasoline in November than ever before, with more than 40% coming from the Bahamas. Yahoo (Bloomberg), February 16, 2026.

• Dania Romero, “California braces for possible pump increases after Valero plans Benicia refinery closure,” Fox 26 News, February 23, 2026.

Offshore oil

• The California State Lands Commission held two public meetings on decommissioning 60-year-old, 231-foot-tall Platform Holly, located two miles off the shores of Goleta, with public outreach meetings on Thursday. Noozhawk, February 21, 2026.

Commentary and analysis

• Ella Heydenfeldt, “After Public Outcry, Feds Invite Oil and Gas Companies to Nominate Blocks of Ocean off California for Offshore Drilling,” Santa Barbara Independent, February 20, 2026.

Carbon reporting

• CARB will hold a public hearing on February 26, 2026 to consider the proposed California Corporate GHG Reporting and Climate-Related Financial Risk Disclosure Initial Regulation.

Climate policy

Commentary and analysis

• Maxine Joselow, “As Trump Obliterates Climate Efforts, States Try to Fill the Gap,” New York Times, February 18, 2026.

Renewable energy

• The California Public Utilities Commission’s (CPUC) proposed decision would dramatically cut back the amount of new in-state wind energy grid operators should plan for through 2036. Politico, February 19, 2026.

Commentary and analysis

• Rob Nikolewski, “California regulator says its solar rules are fair, but trio of environmental groups wants to toss them out,” Mercury News, February 18, 2026.

Nuclear energy

Commentary and analysis

• Jeff Donovan, Cristina Talacko, “California needs to end its outdated nuclear power plant moratorium,” San Francisco Chronicle, February 18, 2026.

EVs

• California is challenging an unorthodox move by congressional Republicans to kill a waiver allowing the state to enact its own emissions regulations. If California wins, it could force U.S. automakers to comply with two diametrically opposed regulatory schemes: President Donald Trump’s anti-EV policy and California’s pro-EV regime, which 11 other states have adopted. Reuters, February 19, 2026.

Legislation

• AB 2389 would extend the rooftop solar property tax exclusion. It would apply the exclusion for dates commencing on or after January 1, 2027, and before January 1, 2031 for customer-sited solar energy systems of less than or equal to 2 megawatts and for customer-sited, active solar energy systems that are sited on the property of a public entity customer.

Additional News and Analysis

Climate policy

• A group of 13 states sued the administration, challenging the cancellation of billions of dollars in funding for climate-friendly projects, primarily in Democrat-leaning states. The Hill, February 18, 2026.

• The U.S. Supreme Court will consider a bid from ExxonMobil and Suncor to toss out a suit from Boulder, Colorado suit blaming them for climate change. The Hill, E&E News, February 23, 2026.

AI and data centers

• Microsoft has promised to keep buying enough renewable energy to match all its electricity needs after meeting that goal for the first time last year. Reuters, February 18, 2026.

Oil and gas

• Big Oil executives are under pressure to spell out their plans for future growth after years of cost-cutting and heightened shareholder returns as investors fretted about peak oil demand. With the transition to clean energy now expected to be slower, extending the need for fossil fuels, ExxonMobil, Chevron, Shell, BP and TotalEnergies are being asked to prove the longevity of their reserves and the strength of their project pipelines. FT, February 16, 2026.

Questions, comments, or tips? Contact editor@californiaenergyjournal.com.

From the California Energy Journal

Bill Would Expand CARB Authority over Indirect Emissions Sources (February 17, 2026) – California Assemblymember Robert Garcia introduced legislation to expand the state’s authority to regulate greenhouse gas (GHG) emissions. AB 1777 would empower the California Air Resources Board (CARB) to adopt regulations targeting emissions linked to “indirect sources,” which are facilities and land uses that attract significant mobile emissions but have historically fallen outside direct regulatory control by state authorities. Read more.

Additional California News and Analysis

Oil and gas

• Lobbying disclosures show that oil majors spent at near-record levels in Sacramento in 2025. Politico, February 11, 2026.

• The governor’s office announced that all 21 oil wells at the AllenCo site in University Park, Los Angeles, are now permanently plugged and sealed. Governor’s Office, February 11, 2026.

Commentary and analysis

• Tony Briscoe, “Notoriously hazardous South L.A. oil wells finally plugged after decades of community pressure,” Los Angeles Times, February 14, 2026.

• “The Fragile State of California’s Energy Infrastructure,” Funds for NGOs, February 10, 2026.

• State Senator Suzette Martinez Valladares said on Fox Business that “California is truly at a breaking point. Refineries are closing, supply is diminishing, and my constituents are paying more at the pump every single day.” New York Post, February 12, 2026.

• Chevron executive Andy Walz says he is “quite worried” over California’s energy polices, Fox Business, February 12, 2026.

• Baruch Feigenbaum, “California needs to transition away from the gas tax, whether Republicans like it or not,” Orange County Register, February 14, 2026.

• Ella Heydenfeldt, “California to Weigh In on Fate of Platform Holly off Goleta’s Coast,” Santa Barbara Independent, February 13, 2026.

Power and utilities

• Californians have seen their energy bills spike by 39% over the past six years — the most by far of any state, according to UC Berkeley’s Haas Energy Institute — thanks in part to the destructive wildfires that have torn through Los Angeles and other areas in recent years and policy choices that have shoved costs onto rate payers. New York Post, February 9, 2026.

• SB 1011 would require utility companies that use AI for automated decisions to use humans to “modify or override the output of the automated decision systems and to take other specified actions.” A similar bill, SB 833, was introduced last year.

Commentary and analysis

• Song Wanyuan, “What can China learn from California’s coal power exit?,” Dialogue Earth, February 11, 2026, February 12, 2026.

• A federal judge rejected California Attorney General Rob Bonta’s bid to dismiss Exxon Mobil’s lawsuit accusing him of defamation in criticizing the oil giant’s advanced plastics recycling initiatives. Reuters, February 13, 2026. (also see California Sues ExxonMobil for “Campaign of Deception” about Plastic Recycling.)

International

• California Governor Gavin Newsom and UK Energy Secretary Ed Miliband signed a new memorandum of understanding (MOU) to increase transatlantic investment and environmental protection during a meeting at the Munich Security Conference in Germany. Governor’s Office, February 16, 2026. President Trump criticized the agreement. The Hill, February 16, 2026.

Legislation

• SB 1035 would suspend the state’s gasoline tax for one year, suspend the Low Carbon Fuel Standard regulations for one year, and exempt fuel suppliers from the state’s cap-and-trade program for one year.

Additional News and Analysis

Federal policy

• President Donald Trump announced that the Environmental Protection Agency is rescinding the endangerment finding, the legal finding that it has underpinned climate policy since 2009. NBC News, February 12, 2026.

Commentary and analysis

• Julia Kane and Josh Voorhees, “Trump is wiping out all climate regulation. Big Oil may regret it,” Heated, February 10, 2026.

Oil and gas

Commentary and analysis

• Duggan Flanakin, “The Perils of Petronomics in a Warring World,” Real Clear Energy, February 9, 2026.

Questions, comments, or tips? Contact editor@californiaenergyjournal.com.

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From the California Energy Journal

Bill to Hold Oil Companies Liable for Climate Disasters Reintroduced (February 9, 2026) – Senator Scott Wiener reintroduced legislation to authorize civil lawsuits against oil companies and other “responsible parties” for damages from climate change. SB 982, introduced on February 5, 2026, would authorize the state attorney general to bring a civil action against a responsible party for “climate-attributable damage.” SB 982 is a revised successor to SB 222, which was introduced in 2025. Read more.

Feds Subpoenaed Sable over Inside Information, Records Show (February 4, 2026) – Sable Offshore Corp. received subpoenas in December 2025 from the U.S. Attorney’s Office for the Southern District of New York (SDNY) and the U.S. Securities and Exchange Commission (SEC), seeking documents related to trading in the company’s securities and issues raised in an October 31, 2025 investigative report by Hunterbrook Media. The subpoenas add to a growing list of legal, regulatory, and political challenges facing the company as it seeks to restart offshore oil production in federal waters off Santa Barbara County. Read more.

Additional California News and Analysis

Oil and gas

• The California Energy Management Division (CalGEM) approved 20 new drilling permits in January 2026, compared with 17 in all of 2025 and 73 in 2024. PR Newswire, February 5, 2026.

• The California Public Utilities Commission (CPUC) approved emergency measure to raise rates on the San Pablo Bay pipeline system by 59.2% to “avoid suspension of pipeline operations.” The 373-mile pipeline transports crude oil from production areas in the San Joaquin Valley to refineries in the San Francisco Bay Area. The closure of Valero Energy’s Benicia refinery has caused the pipeline to run dry.

Commentary and analysis

• Edward Ring, “Can California’s Oil Industry Survive?,” California Policy Center, February 4, 2026.

• Joan Hartmann and Sigrid Wright, “Trump’s Energy Policy Isn’t About Security: It’s About Power — and It’s Costing America the Future,” Santa Barbara Independent, February 8, 2026.

Gasoline and fuels

Commentary and analysis

• Dominic Pino, “These states are like a whole other country for gas prices: On fuel costs, Californians in particular are getting hosed.,” Washington Post, February 3, 2026.

• Katy Grimes, “Valero Shut Down Benicia Refinery Jan 31st – CA Gas Prices Already Climbing,” California Globe, February 3, 2026.

Power and utilities

Commentary and analysis

• Josiah Neeley, “California can reduce electric rates by easing state mandates,” OC Register, February 2, 2026.

EVs

• New budget language lays out how Gov. Gavin Newsom plans to structure a $200 million electric vehicle rebate program, including price caps, automaker matching funds and a focus on first-time buyers. CalMatters, February 3, 2026.

• California’s clean-truck voucher program reserved $165 million to subsidize Tesla’s Semi. That funding advantage may have further destabilized an already fragile heavy-duty electric truck market. Los Angeles Times, February 9, 2026.

Renewable energy

• U.S. residential solar companies are preparing for a steep drop in business this year after the expiration of a 30% federal income tax credit for homeowners who purchase rooftop systems expired at the end of 2025 under President Donald Trump’s tax overhaul. Reuters, February 5, 2026.

Commentary and analysis

• Maria Gallucci, “California has abundant solar power. Here’s how factories can use it.,” Canary Media, February 4, 2026.

Transportation

Commentary and analysis

• Steven Greenhut, “California Doubles Down on a Boondoggle,” R Street, February 4, 2026.

Additional News and Analysis

Carbon emissions

• The Trump administration is set to repeal a scientific determination, known as an endangerment finding, that greenhouse gas emissions endanger human health, overturning the legal basis for federal greenhouse-gas regulation. Reuters, February 9, 2026.

Renewable energy

• Companies canceled or downsized more than $34 billion in U.S. clean energy projects last year, underscoring challenges facing renewables and low-carbon industries, according to a new report. E&E News, February 5, 2026.

Power and utilities

Commentary and analysis

• Ken Girardin, “Electric Shock: Soaring energy prices are the result of misguided government policy—time for a course correction.,” City Journal, Winter 2026.

Questions, comments, or tips? Contact editor@californiaenergyjournal.com.

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From the California Energy Journal

California Sues Trump Administration over Sable Pipeline Approval (January 26, 2026) – California is suing the federal government for taking regulatory authority over Sable Offshore Corp.’s Las Flores 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.

Federal Review Opens Path to New Oil Drilling Off the Coast of California (January 29, 2026) –The Bureau of Ocean Energy Management (BOEM) on January 26, 2026 issued two Calls for Information and Nominations covering previously protected federal waters off Southern and Central California. The notices begin a preliminary review under the Outer Continental Shelf Lands Act and invite public and industry input on environmental conditions, potential commercial interest, and socioeconomic impacts. The “calls” formally initiate a process that could lead to the first new offshore lease sales in the region since 1984. Read more.

EPA Blocks California’s Out-of-State Truck Inspection Rule (February 2, 2026) – The U.S. Environmental Protection Agency (EPA) issued a final rule January 27, 2026 disapproving of California’s inspection and maintenance requirements on out-of-state trucks passing through the state. The EPA approved California’s Heavy-Duty (HD) Inspection and Maintenance (I/M) Regulation only as it applies to in-state registered vehicles. The EPA proposed its disapproval of the so-called Clean Truck Check rule on out-of-state vehicles in August 2025. Read more.

Additional California News and Analysis

Gasoline and fuels

• California’s state Senate Republicans called on Gov. Gavin Newsom to convene a special legislative session to address high gasoline prices and respond to the impending shutdown of one of the state’s eight remaining gasoline-producing refineries. E&E News, January 30, 2026.

• California failed to save Valero, Western States Petroleum Association CEO says. The governor’s office said in a statement earlier this month it had been encouraged by talks with Valero and said discussions were ongoing on possible continued operations at the refinery. KCRA, February 1, 2026.

• California Republicans are opposing a study of whether to replace the state’s gas tax with a mileage-based fee system. AB 1421, revised in January, would require the California Energy Commission to research and provide recommendations on a road user charge or a mileage-based fee system by January 1, 2027. KCRA, February 2, 2026.

• Valero notified the Bay Area Air District that beginning on January 31, 2026, it will shut down some refinery equipment as part of a phased process. A full shutdown of refinery operations is expected by April 2026. CBS News, January 31, 2026.

Commentary and analysis

• “California Pipeline Closes, 100 Trucks Hit Roads: Is This the Breaking Point for California Consumers and High Gas and Diesel Looming?,” Energy News Beat, January 30, 2026.

• Jeremy Martin, “Biofuel Incentives in Flux: Interactions Between Federal and California Policy,” The Equation, February 3, 2026.

Oil and gas

• Between January 2 and January 26, Kern County reported issuing a total of 361 oil permits, about 39% of them for drilling new wells. An additional 43% of the approved applications relate to modifications such as well-deepening work and drilling that was required to meet new local standards. Bakersfield Californian, January 27, 2026.

EVs

• California officials are meeting Detroit automakers to discuss the next phase of greenhouse gas regulations for cars and trucks. The state is fighting in the courts and in the U.S. Congress against President Donald Trump’s efforts to dismantle landmark federal vehicle emissions standards. Reuters, January 29, 2026.

Commentary and analysis

• Tik Root, “EVs are already making your air cleaner: A study in California finds that even small increases in EV adoption lead to measurable drops in neighborhood-level air pollution.,” Grist, January 30, 2026.

Power and utilities

• Governor Gavin Newsom said he doesn’t think Pacific Gas & Electric should be broken up. The idea has been suggested multiple times by aspiring gubernatorial candidates and congressional members as a solution to the skyrocketing costs for households. SF Gate, January 30, 2026.

• Assembly Member Boerner introduced AB 1677, which would state the intent of the Legislature to enact future legislation to require electrical corporations and gas corporations to reduce ratepayer bills by 25%. February 2, 2026.

• As electricity prices soar and rooftop solar subsidies vanish, some U.S. renters and homeowners are surreptitiously installing solar panels on balconies and in backyards without their utility’s permission. Los Angeles Times, February 3, 2026.

• Senator Josh Becker introduced SB 943, which would authorize the California Public Utilities Commission (CPUC) to direct larger electrical corporations to assist industrial companies in switching to electricity for industrial heat by applying “an adjustment factor to the per kilowatthour rate so as to limit the nonbypassable charge ratio.”

Commentary and analysis

• Jeanne Kuang, “Tom Steyer vows to cut electricity bills by 25%, but experts say the details fall short,” CalMatters, January 29, 2026.

Carbon emissions

• Greenhouse-gas emissions throughout Santa Barbara County increased by 1% in the past five years despite two major planning initiatives launched by the county supervisors to bring emissions down by 50% by 2030. Santa Barbara Independent, January 28, 2026.

Additional News and Analysis

Wind and solar

• All five offshore wind projects halted by the Trump administration in December can resume construction following a federal judge’s ruling that cleared Denmark’s Orsted to proceed with its Sunrise Wind project off the coast of New York. Reuters, February 2, 2026.

Data centers and AI

Commentary and analysis

• Martha Muir and Jamie Smyth, “The political cost of America’s surging electricity bills: Data centres powering the AI boom are straining grids and causing price rises that could hurt Trump,” Financial Times, February 2, 2026.

Critical minerals

• The U.S. will put together a $12 billion minerals stockpile that is expected to involve rare earth elements, other minerals that the government considers “critical” and additional materials whose prices may fluctuate. The Hill, February 2, 2026.

Questions, comments, or tips? Contact editor@californiaenergyjournal.com.

From the California Energy Journal

California Sues Trump Administration over Sable Pipeline Approval (January 26, 2026) – California is suing the federal government for taking regulatory authority over Sable Offshore Corp.’s Las Flores 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.

CARB Proposes Amendments to California’s Cap-and-Trade Rules (January 23, 2026) – In January 2026, the California Air Resources Board (CARB) issued a set of proposed regulatory amendments to the rules governing California’s greenhouse gas trading program, now referred to as Cap-and-Invest. The proposal is designed to realign the program with California’s long-term climate objectives, including the statutory goal of achieving economy-wide carbon neutrality by 2045. Read more.

BLM Says Increased Oil Drilling in California Will Have Minimal Environmental Impact (January 21, 2026) – The Bureau of Land Management (BLM) released a draft environmental impact statement that concludes that new drilling in central and coastal California would not significantly harm public health or the environment. The environmental review is part of the Trump administration’s plans to open 1.2 million acres of federal mineral lands in California to oil and gas drilling. Read more.

Additional California News and Analysis

Offshore oil

• The 60-day public comment period closed January 23, 2026 for the federal draft proposal to lease approximately 1.27 billion acres in the Outer Continental Shelf (OCS), including in six areas off the coast of California. BOEM; Comment Letter from California Natural Resources Agency, January 23, 2026; Comment Letter from National Caucus of Environmental Legislators, January 22, 2026.

• The Bureau of Ocean Energy Management announced two Calls for Information and Nominations to solicit industry nominations and public comments on areas of interest for potential offshore oil and gas leasing in Southern California and Central California. BOEM, January 26, 2026.

Commentary and analysis

• Madeline Shannon, “California lawmakers push back against offshore oil drilling,” The Center Square, January 21, 2026.

Oil and gas

• Nevada is looking for ways to break away from a decades-long dependence on California fuel as California experiences refinery closures. Gov. Joe Lombardo proposed the Nevada Fuel Resiliency Committee, which had its first meeting last week. Nevada Current, January 20, 2026.

Commentary and analysis

• Jodie Miller, CEO Western States Petroleum Association, “California on the brink of energy crisis: Lawmakers acted, more must be done,” BIC Magazine, January 20, 2026.

EV

• During the fourth quarter of 2025, Californians purchased 79,066 new zero-emission vehicles (ZEVs), representing 18.9% of new car sales. The state also surpassed 2.5 million new ZEV sales. CEC, Governor’s Office, January 20, 2026.

Commentary and analysis

• Caroline Petrow-Cohen, “California exceeds clean car goal despite declining federal support,” Los Angeles Times, January 20, 2026.

• Alejandro Lazo, “Newsom wants $200M for EV rebates. Experts say it’s not enough to fix California’s slump,” Cal Matters, January 23, 2026.

Renewable energy

Commentary and analysis

• Michael Thomas, “Solar and Batteries Are Squeezing Out Natural Gas in California,” Distilled, January 23, 2026.

• Mary Creasman, “California’s choice: clean energy or oil chaos,” Capitol Weekly, January 20, 2026.

Power and utilities

• The California Energy Commission forecasts that electricity demand will increase by roughly 50% through 2045. Electric vehicles are projected to be the largest driver of peak demand load growth. CEC, January 21, 2026; E&E News, January 22, 2026.

Additional News and Analysis

• The Trump administration is canceling $30 billion in green loans and revising another $53 billion after its review of $104 billion in loan obligations issued by the Biden administration. The Hill, January 23, 2026.

Questions, comments, or tips? Contact editor@californiaenergyjournal.com.

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The week ended January 19, 2026:

• Biggest story: The Trump administration continues its challenges to California energy policy through a suite to overturn the state’s 2022 oil drilling setback law.

• What to watch in the coming week: Concerns over the impact of data centers on energy prices continue to grow.

From the California Energy Journal

Trump Administration Sues to Overturn California Oil Setback, Citing Federal Preemption (January 16, 2026) – The Trump administration is suing California to pause and overturn the state’s 2022 oil drilling setback law, known as SB 1137. The administration is arguing that the Mineral Leasing Act and the Federal Land and Policy Management Act preempts the law. The administration notes that the law would “knock out about one-third of all federally authorized oil and gas leases in California.” The lawsuit asks the court to declare SB 1137 unconstitutional and seeks an injunction against its enforcement. Read more.

Additional California News and Analysis

Offshore oil drilling

• Senator John Laird introduced Senate Joint Resolution 12, a bipartisan measure opposing the federal government’s proposed 11th National Outer Continental Shelf Oil and Gas Leasing Program and calling for California to be removed from the proposed plan, stronger environmental review and public engagement in the process. Office of Senator John Laird, January 13, 2026.

Commentary and analysis

• Ken Bouley, “Marin Voice: Offshore drilling plan for California must be rejected,” Marin Independent Journal, January 15, 2026.

Oil and gas

• Gov. Gavin Newsom met with the CEO of Phillips 66 days before he unveiled a plan to boost oil drilling and put a hold on the refinery profit cap. Mercury News, January 14, 2026.

• Valero Energy expects layoffs of 237 out of 348 total employees at its Benicia refinery by July 1, 2026, following its April 1, 2026 shutdown, the company told state employment regulator and local officials. MSN, January 16, 2026.

• Phillips 66 and Kinder Morgan, Inc. launched a second open season for their Western Gateway Pipeline proposal, for remaining pipeline capacity and new access to the Los Angeles market. Phillips 66 and Kinder Morgan proposed the new pipeline system in October. Kinder Morgan, January 15, 2026.

• Hundreds of gas stations in California are set to close due to SB 445 of 2014, which requires gas station owners and operators to replace single-walled gasoline storage tanks with double-walled tanks or face fines of $5,000 a day. The Sun, January 19, 2026; San Francisco Chronicle, January 18, 2026.

Commentary and analysis

• Noah Baustin and Camille von Kaenel, “The Trump vs. Newsom energy showdown is just getting started,” Politico, January 13, 2026.

• Jesse Rojas, “Community Voices: California’s war on oil is a war on working families,” Bakersfield Californian, January 15, 2026.

• Marie Choi and Nick Plurkowski, “California shouldn’t let oil companies rewrite refinery safety rules,” CalMatters, January 14, 2026.

Power and utilities

• AB 710, which would require the CPUC to require California utilities to offer a dynamic pricing option by 2028, advanced out of the Committee on Utilities and Energy.

Commentary and analysis

• Tom Steyer, “While SF residents suffer, PG&E profits. It’s time to smash the utility monopolies,” San Francisco Standard, January 7, 2026

• Alison F. Takemura, “First Clean Energy Win of 2026 as AB 710 Passes the Asm. Utilities and Energy Committee,” Canary Media, January 19, 2026

Solar and wind

• California’s single-largest solar energy project is scheduled to come up for a vote next month by the Kern County Planning Commission before going on for final consideration by the Board of Supervisors. Bakersfield Californian, January 13, 2026.

Data centers and AI

• The California Public Utilities Commission (CPUC) approved an agreement between Microsoft and Pacific Gas & Electric to power a new 90-megawatt data center in San Jose. CPUC, RTO Insider, January 15, 2026.

• California legislature introduces new data center bills:

  • SB 886 would establish a tariff on data centers to protect ratepayers from the increased costs of supplying data centers.

  • SB 887 would clarify that data centers are eligible for streamlined environmental review under the California Environmental Quality Act (CEQA) but are not ministerial projects exempt from CEQA review and do not qualify for the CEQA exemption for an advanced manufacturing facility.

  • AB 1577 would require data centers to report monthly to the California Energy Commission on their power and water “usage effectiveness” and their total water consumption and the quantity of fuel consumed by onsite generators or other fuel-based energy systems.

Climate reporting

• A panel of judges heard arguments on the constitutionality of SB 253 and SB 261 on January 9, 2025. The court issued an injunction against SB 261, which was scheduled to take effect January 1, 2026. Corporate Disclosures, National Law Review, January 12, 2026.

Energy policy

Commentary and analysis

• Elias Van Emmerick, “Crafting a Roadmap for Zonal Decarbonization in California,” Legal Planet, January 14, 2026

• Edward Ring, “The Denominators of our Prosperity – Energy and Water,” California Policy Center, January 14, 2026.

Additional News and Analysis

Oil and gas

• Chevron and other oil majors argued before the U.S. Supreme Court that Louisiana climate litigation should be litigated in federal, not state, court. Inside Climate News, January 12, 2026.

• The Environmental Protection Agency proposed a new rule to limit the power of states and some Indian Tribes to block construction of oil and gas pipelines, coal export terminals, and other energy projects under the Clean Water Act. AP, January 13, 2026

Federal policy

• A former DOE senior official warned that if “the administration doesn’t reverse all of the terminations [of Biden-era energy grants], then they should prepare for hundreds of additional similar lawsuits.” Latitude Media, January 13, 2026.

Data centers and AI

• Microsoft is pledging to “pay its way” for its AI data centers, as soaring US electricity prices and water use bring a backlash against tech companies and the Trump administration’s AI push. FT, January 13, 2026.

• President Donald Trump and the governors of several US Northeastern states agreed to push for an emergency wholesale electricity auction that would compel technology companies to fund new power plants. Bloomberg, January 15, 2026.

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Questions, comments, or tips? Contact editor@californiaenergyjournal.com.

The week ended January 12, 2026:

• Biggest story: Public opposition to Sable’s offshore drilling plans and the Trump administration’s offshore drilling policy continue to build.

• What to watch in the coming week: Concerns over the impacts of the closure of the Benicia refinery could become an increasing political risk for Gavin Newsom.

From the California Energy Journal

Trump Administration Sues Petaluma and Morgan Hill Over Natural Gas Bans (January 9, 2026) – The U.S. Department of Justice filed lawsuits against the Bay Area cities of Petaluma and Morgan Hill over ordinances that banned natural gas infrastructure and appliances in new buildings. The lawsuits, filed in the U.S. District Court for the Northern District of California, argue that the Energy Policy and Conservation Act (EPCA) gives the federal government exclusive authority over energy use standards for appliances. Read more.

Additional California News and Analysis

Oil and gas

• Governor Gavin Newsom said Valero Energy would keep importing gasoline into Northern California after its Benicia refinery ceases operations in April rather than making a full exit from the market. Reuters, Office of the Governor, January 6, 2026.

Commentary and analysis

• Hector Barajas, California’s Higher Gas Prices Are a Policy Choice, Not an Accident, California Globe, January 7, 2026.

Offshore oil

• Members of the California State Legislature and environmental advocates blasted the Trump administration over proposed offshore drilling expansion plans off the California coast, urging residents to oppose the proposal before the January 23 deadline for public comments to the Bureau of Ocean Energy Management. Sacramento Bee, January 6, 2026.

• None of California’s nine GOP lawmakers have spoken against new drilling, even as their Florida colleagues push back aggressively. E&E News, January 7, 2026.

• A Santa Barbara County judge declined to lift a July 2025 injunction against Sable Offshore Corp. that blocked the company from restarting the Las Flores Pipeline System. The company also confirmed that the pipelines had not been restarted. The next hearing is February 27. Santa Barbara Independent, January 7, 2026.

• The Santa Barbara Board of Supervisors held a closed-door special hearing to discuss possible legal actions to stop or slow down Sable Offshore from restarting production at the Santa Ynez Unit. The supervisors reportedly deadlocked 2-2 on any action. Santa Barbara Independent, January 6, 2026.

Commentary and analysis

• Julie Packard, Leon Panetta, Trump’s plan to open California’s coastline to oil drilling threatens more than ocean life, San Francisco Chronicle, MSN January 5, 2026.

• “Analysis: Trump Offshore Drilling Plan Could Generate 4,000+ Oil Spills,” Center for Biological Diversity, January 6, 2026.

• Robert Sulnick, “Why Santa Barbara and California Must Fight Federal Restart of Oil Pipeline,” Noozhawk, January 12, 2026.

EVs

• Governor Gavin Newsom is proposing $200 million in new state electric-vehicle tax rebates after Congress earlier this year ended a federal $7,500 state tax deduction on new EVs. Reuters, Office of the Governor, January 9, 2026.

Renewable energy

• Senator Scott Wiener (D-San Francisco) introduced SB 222, the Heat Pump Access Act, which streamlines permitting for heat pump HVAC and water heater systems, and SB 868, the Plug And Play Solar Act, which streamlines approvals for plug-in solar systems. Office of Scott Wiener, January 6, 2026.

Commentary and analysis

• Hayley Smith, “Why California is keeping this unusual solar plant running when both Trump and Biden wanted it closed,” Los Angeles Times, January 11, 2026.

Power and utilities

• Senator Scott Wiener (D-San Francisco) introduced SB 875, which would state the intent of the Legislature to enact legislation that would authorize cities within the Pacific Gas and Electric Company (PG&E) service area to withdraw and separate from PG&E and either create their own public utility or join an existing municipal utility.

Additional News and Analysis

Renewable energy

• A federal judge ruled that the Trump administration’s decision to cut $7.6 billion in energy grants to recipients mostly in states where the majority did not vote for President Trump in the 2024 election was illegal. He ordered the Department of Energy to restore nearly $28 million in environmental project grants. ABC News, E&E News, January 12, 2026.

• A federal judge in Washington, DC, ruled that Danish wind farm developer Orsted can proceed with the construction of its major project off the coast of Rhode Island, which was 90% complete before the Interior Department ordered a pause on several offshore wind projects last month. Yahoo, January 12, 2026.

Commentary and analysis

• Joel Kotkin, “The end of green energy Fossil fuels are still king,” Unheard, January 13, 2026.

Data centers

• Trump said that data centers must “pay their own way” for the additional electricity costs of data centers. Truth Social, January 12, 2026.

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The two weeks ended January 5, 2026:

• Biggest story: Federal regulators gave Sable an “emergency” waiver to restart a pipeline that is critical to offshore production; environmental groups failed to stop the waiver. Public opposition to Sable’s offshore drilling continues to build.

• What to watch in the coming week: The California legislature began a new legislative session with energy affordability as a growing policy concern.

From the California Energy Journal

Year in Review: Key Energy Bills from 2025 Legislative Session (December 31, 2025) – California passed hundreds of bills that address climate, energy affordability, and other environmental issues during the 2025 legislative session. The following is a review of the key energy and climate laws passed during 2025. Read more.

Federal Regulator Approves Sable Pipeline Restart Plans (December 23, 2025) – The federal regulator approved Sable Offshore Corp.’s Las Flores Pipeline System, a critical step in restarting oil production in the Santa Ynez Unit. The pipeline system connects the Santa Ynez Unit to the Pentland Station terminal in Kern County. Read more.

Feds Grant Sable “Emergency” Waiver for Pipeline Restart, Environmental Groups Sue (December 30, 2025) – The Trump administration approved Sable Offshore Corp.’s request for an “emergency” waiver from federal safety regulations over the restart of the Las Flores Pipeline System. Environmental groups then sued the administration over the approval, contending that the administration bypassed federal requirements in its approval of the pipeline restart plan and its “Emergency Special Permit.” Read more.

Court Rejects Emergency Appeal to Stop Pipeline Restart (January 2, 2026) – The Ninth Circuit Court of Appeals rejected an attempt to stay the approval of Sable Offshore Corp.’s pipeline restart plan. The lawsuit will proceed on an expedited basis with opening briefs due January 26, 2025. Read more.

Additional California News and Analysis

Data centers and AI

• A new law orders regulators to study the cost impacts of AI data centers. Cal Matters, December 29, 2025.

• The California Energy Commission published data showing that Pacific Gas & Electric’s pipeline of data center energy capacity requests increased from about 12,000 megawatts in September to about 15,000 MW in December. Politico, January 5, 2026.

Oil and gas

• Assembly Member Dawn Addis introduced placeholder legislation on January 5, 2026 signaling the intent to introduce legislation to “establish or uphold existing local and state protections for communities impacted by the transportation and procurement of offshore oil.”

• Santa Barbara County Board of Supervisors held a special meeting on January 5, 2026 in response to environmental groups losing effort to block Sable from restarting its Santa Ynez oil pipelines. Santa Barbara News Press, January 4, 2026; Edhat, January 5, 2026.

• Consumer Watchdog and two private law firms sued gasoline producers, arguing that drivers overpaid for gasoline after fuel suppliers preemptively raised prices before updates to the state’s low-carbon fuel standard kicked in on July 1. Politico, January 5, 2026.

• The California Public Utilities Commission published a draft resolution that would raise the rate on the San Pablo Bay pipeline from $2.36 per barrel to $3.75 per barrel. The interim rate increase would be effective dating back to August 1, 2025. Politico, January 2, 2026.

Commentary and analysis

• Ashley McClure, “Protecting California’s public lands from oil and gas drilling is defending public health,” Cal Matters, December 23, 2025.

• Victoria Riskin, “California Should Determine if Pipeline Is Safe to Operate,” Santa Barbara Independent, December 30, 2025.

• Alexander Clark, “California oil crisis could hit $12 gas in 2026 and risk US security,” MSN, January 4, 2026.

• Nick Busse, “Energy Security Is National Security: Why California Can’t Afford Its Production Decline,” California Globe, January 5, 2026.

• Jack Dolan, “Ties between California and Venezuela go back more than a century with Chevron,” Los Angeles Times, January 5, 2026.

Power and utilities

• Pacific Gas & Electric Co. bills will drop by about $8 monthly starting January 1 for typical residential customers with both electric and gas service, according to an end-of-the-year rate adjustment the company filed with state regulators. San Francisco Chronicle, December 30, 2025.

• San Francisco city leaders continue efforts to acquire PG&E’s electric infrastructure, aiming to create a publicly owned utility to address reliability and rate concerns. San Francisco Chronicle, January 6, 2026.

• The Trump administration sued two California cities, seeking to block local laws that restrict natural gas infrastructure and appliances in new construction. Reuters, January 5, 2026.

Commentary and analysis

• VIDEO: “Former Energy Commissioner: Here’s Why California Electricity Is So Expensive,” California Insider, January 3, 2026.

• “Ivanpah Solar Plant Remains Open, Despite Costing Ratepayers Money,” Institute for Energy Research, January 2, 2026.

• Keaton Peters, “California’s PG&E cuts 2026 electric rates 5%. Not all customers will benefit,” SAN, January 2, 2026.

Wind and solar

Commentary and analysis

• Supervisor Rosario Rodriguez, “Guest Column: Why I voted to approve this major solar project,” Citrus Heights Sentinel, December 27, 2025.

Energy policy

Commentary and analysis

• Steve Goreham, “Affordability Crisis: Gavin Newsom’s California Energy Disaster,” NewsBlaze, January 5, 2026.

Additional News

Data centers and AI

• Electricity demand from AI data centers is reviving peaker power plants, which emit more pollution when they run than typical power plants. Reuters, December 23, 2025.

Renewable energy

Commentary and analysis

• Jennifer McDermott, “Trump’s return brought stiff headwinds for clean energy. So why are advocates optimistic in 2026?,” Los Angeles Times, December 23, 2025.

Climate policy

• A blistering rollback of climate policies led by the US in 2025 with knock-on effects in Europe and other western economies has heightened concerns about rising greenhouse gases, even as a clean energy boom takes hold. Financial Times, December 29, 2025.

• The EU’s carbon border tax came into force despite fierce opposition from trading partners and warnings from European industry that it will increase costs and red tape. Financial Times, December 30, 2025.

International

Commentary and analysis

• Gerard Reid, “Energy, Power and the Return of Geopolitics,” Gerard Reid, January 1, 2026.

• Javier Blas, “Trump Now Has His Very Own Oil Empire, Bloomberg, January 4, 2026.

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From the California Energy Journal

Santa Barbara County Denies Sable Permit Transfers (December 17, 2025) – The Santa Barbara County Board of Supervisors voted to deny the transfer of operating permits for offshore facilities from ExxonMobil to Sable Offshore Corp. The Supervisors voted 3-1 on December 15, following a preliminary decision in November. The permits covered the Santa Ynez Unit, a gas plant, and the Las Flores Pipelines. The transfer of permits was a key step in restarting the Santa Ynez Unit, which has been shut since the 2015 Refugio oil spill. Read more.

Federal Regulators to Oversee Pipeline Critical to Sable’s Restart of Offshore Oil Production (December 19, 2025) – The federal government is taking regulatory authority over Sable Offshore Corp.’s Las Flores Pipeline System, which connects the Santa Ynez Unit to the Pentland Station terminal in Kern County. The U.S. Department of Transportation’s Pipeline and Hazardous Materials Safety Administration (PHMSA) confirmed the company’s determination earlier in the month that the Las Flores Pipeline was an interstate pipeline under the Pipeline Safety Act rather than an intrastate public under state regulation. Read more.

Additional California News and Analysis

Power and utilities

• California regulators softened their proposed cuts to the profits that investor-owned utilities are allowed to pass on to their shareholders in 2026. The California Public Utilities Commission published a revised proposed decision in its proceeding to set the allowed cost of capital for Pacific Gas & Electric, Southern California Edison, San Diego Gas & Electric and Southern California Gas. E&E News; CPUC; Cal Matters (December 18, 2025).

• Southern California electricity customers are now on the hook to pay the 10-figure utility cost of a deadly 2018 Ventura County wildfire that burned across nearly 100,000 acres. Politico (December 19, 2025).

Commentary and analysis

• Harry Mok, “California is about to make a crucial decision on energy costs. Do officials have the courage to fight PG&E?,” SF Chronicle, December 18, 2025.

• Julia Levin, “California must extend BioMAT to fight wildfires and protect jobs,” Sacramento Bee, December 16, 2025.

• Shaye Wolf, “Biomass is a money pit that won’t solve California’s energy or wildfire problems,” Cal Matters, December 16, 2025.

• Craig Segall, “California Must Go Big to Save Big,” Legal Planet, December 17, 2025.

• Tom Philp, “Can Steyer drop California electricity rates 25%? Don’t hold your breath,” Sacramento Bee, December 22, 2025.

• Mitchell G. Bahnsen, “The Public Purpose Program: California’s Hidden Tax Driving Up Utility Bills,” California Policy Center, December 18, 2025.

Oil and gas

• California energy supply concerns that arose partly because of local oil-field permitting delays are reviving interest in importing refined fuels from other states. At least three new pipeline networks have been proposed recently that would bring the West gasoline and other refined products from as far away as Missouri and the Gulf Coast. At least one would supply California directly, while two others would pipe more fuel to neighboring states, potentially easing pressure on the Golden State. Bakersfield Californian, December 16, 2025.

• Phillips 66 and Kinder Morgan, Inc. announced that Western Gateway received significant interest, including shipper commitments, and has closed the initial open season for transportation service on the Western Gateway Pipeline. Phillips 66 (December 22, 2025). (see Phillips 66 and Kinder Morgan Propose New Pipeline into California)

Commentary and analysis

• Dennis Wyatt, “Can California avoid skyrocketing gas prices with 12% loss of refining capacity in 5 months?,” Manteca-Ripon Bulletin, December 19, 2025.

• “California’s Gasoline Market May No Longer Need to Be an ‘Energy Island,’” Institute for Energy Research, December 22, 2025

• Alex Nieves, “How Trump broke California’s grip on the auto market, Politico, December 22, 2025.

• Increasing Kern County oil drilling as planned under a new state law won’t be enough by itself to avert California gasoline price spikes, according to a new report out of UC Berkeley and USC that recommends revisiting onerous regulations and boosting production in Southern California and offshore. Bakersfield Californian (December 19, 2025).

Renewable energy

• Renewable energy accounted for more than half of California’s electricity mix for the first time in 2024 as the state’s reliance on fossil fuels reached a record low, according to the latest California Green Innovation Index released December 16. SPC Global (December 16, 2025).

• Regulators approved a $115 million, first-of-its-kind effort to drive demand for plug-in heat pumps and induction stoves that can make home electrification easier and cheaper. Canary Media (December 17, 2025).

Commentary and analysis

• Dani Anguiano, “‘The biggest transformation in a century’: how California remade itself as a clean energy powerhouse,” The Guardian, December 20, 2025.

Additional News

Carbon emissions

• The European Union is set to propose softening emissions rules for new cars, scrapping an effective ban on combustion engines following months of pressure from the automotive industry. The proposal will allow carmakers to slowdown the rollout of electric vehicles in Europe and will lower the requirements that would have halted sales of new gasoline and diesel-fueled cars starting in 2035. Bloomberg (December 16, 2025).

Data centers

• Three Democratic senators said they are investigating whether and how the operations of technology companies are driving up residential electricity bills. The senators — Elizabeth Warren of Massachusetts, Chris Van Hollen of Maryland and Richard Blumenthal of Connecticut — said they were concerned that customers other than the tech companies would be stuck footing the bill, especially if the A.I. boom ended. New York Times (December 16, 2025).

EVs

• Sixteen states and the District of Columbia are suing the Trump administration for what they say is the unlawful withholding of over $2 billion in funding for two electric vehicle charging programs. AP (December 16, 2025).

Critical minerals

• President Donald Trump plans to forge more mineral deals with private companies and allies around the world and wants Congress to shield projects from lawsuits. E&E News (December 16, 2025).

Wind and solar

• The Trump administration has suspended the authority of five major offshore wind farms to keep building in federal waters, yet another escalation of the administration’s attacks on the wind energy industry. Interior Secretary Doug Burgum said that five leases, all on the East Coast, were being paused due to “national security concerns.” The Hill (December 22, 2025).

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From the California Energy Journal

Coastal Commission Approves Diablo Canyon Extension Plan (December 12, 2025) – The California Coastal Commission approved a plan to extend the life of the Diablo Canyon nuclear power plant by at least five years. The Commission voted 9-3 to approve Pacific Gas and Electric’s (PG&E) request for a federal consistency certification and a state coastal development permit as part of a plan to place 4,000 acres of land into conservation. The approvals were needed to gain Federal approval for a 20-year relicensing permit. Read more.

Los Angeles Sues Oil Companies for Well Clean Up and Environmental Damage (December 11, 2025) – The County of Los Angeles is suing four oil companies for failing to plug and decommission exhausted oil wells in the Inglewood Oil Field. The lawsuit against Sentinel Peak Resources California LLC, Freeport-McMoran Oil & Gas LLC, Plains Resources, Inc., and Chevron alleges that the wells released “toxic pollutants into the air, land, and water and present unacceptable dangers to human health, safety, and the environment.” Read more.

CARB Issues Proposed Climate Reporting Rules (December 15, 2025) – The California Air Resources Board (CARB) published proposed regulations implementing two California climate laws: the Climate Corporate Data Accountability Act (SB 253) and the Climate-Related Financial Risk Act (SB 261). The draft regulations are a key step in implementing one of the most comprehensive corporate climate reporting requirements in the United States. The draft rules are out for public comment through February 9, 2026, with a February 26, 2026 hearing scheduled. Read more.

California Faces Growing Fuel Supply Crisis, New Report Warns (December 10, 2025) – A new policy study warns that California is on the brink of a significant gasoline supply disruption, with refinery closures and pipeline failures threatening fuel availability and driving prices even higher for motorists. Read more.

CPUC Adopts Underground Wires Rule (December 9, 2025) – The California Public Utilities Commission (CPUC) adopted Resolution SPD-37, updating the state’s framework for expediting electric line undergrounding under SB 884 of 2022 and adding new cost, audit, and performance requirements intended to tighten wildfire-mitigation oversight. Read more.

Additional California News and Analysis

Oil and gas

• Interior Secretary Doug Burgum claims California’s dependence on foreign oil is a “national security risk,” arguing that restrictive blue state energy policies are undermining U.S. energy dominance. Fox News (December 10, 2025).

• California energy officials anticipate that the state’s shrinking oil refining capacity could spur more competition in the gasoline market, potentially reducing the likelihood of price spikes at the pump. Greenwire (December 12, 2025).

• Kern County is set to resume issuing oil and gas permits on January 2, 2026, marking a significant development following a decade-long legal battle. Bakersfield Californian (December 11, 2025).

• The owner of the only pipeline carrying crude oil from Kern to Bay Area refineries is warning it may have to close the conduit within three months, potentially boosting imports and costing local producers tens of thousands of dollars per day, unless state regulators act fast to increase in-state production. Bakersfield Californian (December 10, 2025).

• A report on the risks posed by Phillips 66 and other California refineries as they shut down recommends that refineries write decommissioning plans and set aside funds to carry out cleanups before they shut down. Inside Climate News (December 9, 2025).

• Liza Gross, “Green California’s Big Oil Problem,” Inside Climate News, December 12, 2025.

Climate policy

• The Santa Barbara County Board of Supervisors voted 3-2 to adopt a resolution in support of the California Polluters Pay Climate Superfund Act, which calls on fossil fuel companies to foot the bill for climate damages. Santa Barbara Independent (December 11, 2025).

Carbon emissions

• The California Air Resources Board (CARB) released draft rules for SB 253 and SB 261 that would require companies to start reporting their Scope 1 and Scope 2 carbon emissions in August 2026. EE News (December 11, 2025); Covington; Staff Report; Draft Rules.

• Emily Pontecorvo, “California’s Latest Climate Gambit: Turn Air Conditioners Into Heat Pumps,” Heatmap (December 10, 2025).

• The California Legislative Analyst’s Office reported that falling cap-and-trade revenues could lead to a $1.8 billion shortfall in the Greenhouse Gas Reduction Fund (GGRF). LAO (December 9, 2025).

Data centers

• Alejandro Lazo, “Data centers for AI could nearly triple San José’s energy use. Who foots the bill?,” Los Angeles Times (December 13, 2025).

Energy policy

• Governor Gavin Newsom announced that he was reappointing Siva Gunda to the California Energy Commission, where he has served since 2021 and is currently vice chair. Governor’s Office (December 12, 2025).

• Robert Bryce, “Gavin Newsom Sticks It To California Ratepayers,” Robert Bryce, December 12, 2025.

Politics

• California gubernatorial candidate Tom Steyer is blaming high electricity costs on the three big California utilities PG&E, Southern California Edison and San Diego Gas & Electric. Yahoo (December 15, 2025).

Additional News

Carbon emissions

• The U.S. has demanded that the European Union exempt its oil and gas from obligations under the bloc’s methane emissions law on fuel imports until 2035. Reuter (December 15, 2025).

• France released a revamped roadmap to become carbon neutral by 2050, with an ambitious plan to phase out oil and gas. AFP (December 12, 2025).

Data centers

• Evan Halper and Niko Kommenda, “Supersized data centers are coming. See how they will transform America.,” Washington Post (December 15, 2025).

EVs

• The European Union is widely expected to weaken its effective ban on the sale of new combustion-engine cars from 2035. CNBC (December 16, 2025).

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From the California Energy Journal

Sable Requests Transfer of Las Flores Pipeline Oversight from State Fire Marshall to Federal Regulator (December 4, 2025) – Sable Offshore Corp. requested that the federal government take regulatory oversight of the pipeline system critical to its restart of oil production in the Santa Ynez Unit. The California Office of the State Fire Marshal (OSFM) currently has oversight of the pipeline. Read more.

Regulators Reject PG&E’s Proposal to Exit Ivanpah Solar Contracts, Keeping Solar Facility Online (December 8, 2025) – The California Public Utilities Commission (CPUC) rejected a proposal by Pacific Gas & Electric Co. to terminate its long-term power purchase agreements with the Ivanpah Solar Electric Generating Station. The decision keeps the high-profile solar-thermal facility operating despite federal support for closing it. Read more.

Additional California News and Analysis

Oil and gas

• The impending loss of two refineries and the collapse of the only remaining northern pipeline, together with increasing dependency on non-U.S. gasoline sources to California could drive the price of gasoline to double that of the national average by calendar year end 2026, according to a new report. California’s Oil and Gas Conundrum (December 1, 2025).

• A proposed pipeline from Phillips 66 and Kinder Morgan could end California’s status as a “fuel island” and fill the gap left by upcoming closures of two major refineries. Los Angeles Times (November 26, 2025).

• A Kern County Superior Court judge officially lifted an order that had stopped county officials from issuing local oil permits, potentially ending a legal battle dating back to 2015. The Bakersfield Californian (December 5, 2025).

• Rep. Vince Fong said California’s oil and gas issues are a national security risk. Fong stated that California’s lack of supply also impacts neighboring states Nevada and Arizona. KCRA (December 7, 2025).

• State Senator Shannon Grove asked President Donald Trump to consider invoking the Defense Production Act to save California’s refinery and pipeline capacity and expand its oil production. Shannon Grove (December 4, 2025).

Commentary and analysis

• Katy Grimes, “Has California’s Oil and Gas Industry Hit the Point of No Return?,” California Globe, December 1, 2025.

• Austin Gae, “What’s really fueling Californians’ pain at the pump,” San Diego Union Tribune, December 3, 2025.

• Edward Ring, “California’s War on Oil Actually Harms the Environment,” California Policy Center, December 3, 2025.

• VIDEO:, “Has California’s Oil and Gas Industry Hit the Point of No Return?, Energy News Beat, December 6, 2025.

• David Blackmon, “Newsom’s California: Slouching Towards A Self-Inflicted Energy Crisis,” Forbes, December 7, 2025.

Power transmission

• The California Public Utilities Commission (CPUC) published a revised draft resolution for its 10-year plan by the state’s investor-owned utilities to put electrical wires underground. The new proposal removed the controversial cost-to-benefit ratio that the CPUC had previously proposed. Greenwire (December 4, 2025).

EVs

• Edward Ring, “EVs and California’s Future Demand for Electricity,” California Globe, December 4, 2025.

Solar

• The California Public Utilities Commission (CPUC) voted to reject Pacific Gas & Electric’s plan to end its power purchase agreement with the Ivanpah Solar Electric Generating Station under the guidance of the Department of Energy. Ending the agreement with the concentrated solar plant would force the facility to shut down. Politico Pro (December 4, 2025).

• A coalition of 18 California legislators formally urged the California Public Utilities Commission (CPUC) to enforce regulations under “Rule 21” regarding the interconnection of customer-sited solar and energy storage systems. The legislators said utility non-compliance with certain Rule 21 timelines has reached up to 73% over the last five years. PV Magazines (December 1, 2025).

Coal

• The Intermountain Power Plant in Utah, which primarily serves southern California, stopped producing energy with its coal-fired generators on November 26, 2025. Utah News Dispatch (December 5, 2025); Clean Technica (December 6, 2025).

Data centers

• Artificial intelligence and its growing demand for data centers are putting new pressure on California’s electric grid. In San Jose, supporters see jobs and investment, while a key ratepayer advocate worries customers could end up paying for upgrades. CalMatters (December 8, 2025).

Nuclear

Commentary and analysis

• Seaver Wang, “Why California’s Coastal Commission Should Let Diablo Canyon Keep Operating,” Breakthrough Journal, December 3, 2025

Energy policy

Commentary

• Richard Stevenson, “Actual Energy Diversity,” California Globe, December 8, 2025.

Additional News

Wind and solar

• A federal judge struck down President Donald Trump’s executive order blocking wind energy projects, saying the effort to halt virtually all leasing of wind farms on federal lands and waters was “arbitrary and capricious” and violates U.S. law. AP (December 8, 2025).

• The U.S. solar industry installed 11.7 gigawatts (GW) of new capacity in Q3 2025, marking the industry’s third-largest quarter on record and pushing total installations this year past 30 GW. SEIA (December 8, 2025).

Data centers

• Data-center power demand will hit 106 gigawatts (GW) by 2035 in BloombergNEF’s newest forecast, a 36% jump from the previous outlook, published just seven months ago. BloombergNEF (December 1, 2025).

• The United States is looking to use large industrial diesel generators to help curb rising electricity costs and support the surge in power demand from artificial intelligence, according to Energy Secretary Chris Wright. The move could add the equivalent of roughly 35 traditional nuclear power plants worth of electricity and negate the need to build scores of power plants. Bloomberg (December 2, 2025).

Critical minerals

• The US will seek agreements with Japan, South Korea, Singapore, the Netherlands, the UK, Israel, the United Arab Emirates, and Australia to strengthen supply chains for computer chips and critical minerals needed for AI technology. Bloomberg (December 2, 2025).

Fuel economy

• The Trump administration proposed new fuel economy standards for vehicles that would roll back efficiency rules implemented under former President Biden. The plan would relax fuel economy standards by setting the industry average for light-duty vehicles at roughly 34.5 miles per gallon through the 2031 model year, lower than the 50 miles per gallon outlined by a Biden-era rule. CBS News (December 4, 2025).

Energy policy

Commentary and analysis

• Matthew Yglesias, “A bolder vision for American energy,” Slow Boring, December 8, 2025.

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California News and Analysis

Oil and gas

• “An Aviation Fuel Crisis May Be Coming to California,” Institute for Energy Research, November 25, 2025

• In an interview on California Politics 360, California’s Natural Resources Secretary Wade Crowfoot said the state’s leaders only know what the public knows on offshore oil drilling and that Gov. Gavin Newsom’s administration had not yet been provided a briefing from the Trump administration. KCRA (November 30, 2025).

• Benoît Morenne, “The Texas Oil Mogul at War With California Over an Offshore Bounty, WSJ, November 27, 2025.

EVs

• The California Air Resources Board (CARB) will begin next week developing rules for heavy-duty truck emissions regulations. Congress earlier in the year passed resolutions that revoke California’s vehicle emissions waivers that allow it to require auto manufacturers to sell zero-emission vehicles. (Politico, November 24, 2025).

Politics

• Ellie Cohen, “Gavin Newsom could have made electricity more affordable and climate-friendly. Here’s how,” Cal Matters, November 25, 2025.

Wind and solar

• Eighteen California legislators submitted a joint letter on November 25 to the California Public Utilities Commission (CPUC) regarding delays to turn on customer-owned solar and storage at the state’s two largest utilities. The letter urges the CPUC to hold Pacific Gas & Electric (PG&E) and Southern California Edison (SCE) accountable for repeatedly missing state-mandated timelines. (Solar Power World, November 26, 2025).

Power and utilities

• Malena Carollo, “California is about to cut power company profits to historic lows. Your bill will barely drop,” Cal Matters, November 25, 2025.

Climate policy

• Podcast, “California’s Revamped Energy and Climate Policies, with Kate Gordon,” Resources.org, November 25, 2025.

• The California Public Utilities Commission has allocated $115 million over six years to generate business for makers of small heat pumps and battery-equipped induction stoves. (Bloomberg; Los Angeles Times, November 26, 2025).

• Senator Adam Schiff of California is proposing data center legislation aimed at protecting consumers and the electric grid from the energy demands of artificial intelligence. (E&E News, November 24, 2025.)

• Rep. David Valadao of California is reintroducing legislation requiring the USDA to favor small rural energy projects that cut greenhouse gas emissions. The Trump administration wants to keep climate change out of the Agriculture Department’s Rural Energy for America Program. (E&E News, November 26, 2025).

Additional News

Nuclear

• Rebecca Tuhus-Dubrow, “Give Nuclear Power Another Chance,” NYT, November 26, 2025.

Oil and gas

• The Trump administration delayed the Biden-era regulations on methane emissions from the oil and gas industry by 18 months. (The Hill, November 26, 2025).

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From the California Energy Journal

Appeals Court Halts California Climate Risk Law (November 19, 2025) – A federal appeals court granted an injunction against one of California’s climate reporting laws. The Chamber of Commerce and other business groups have challenged the laws on First Amendment grounds and have sought to block implementation of the laws while their lawsuit proceeds. Read more.

Interior Offshore Oil Drilling Plan Includes Six Potential California Lease Areas (November 21, 2025) – The Department of the Interior released a draft proposal to lease approximately 1.27 billion acres in the Outer Continental Shelf (OCS), including in six areas off the coast of California. The draft proposal, released on November 20, 2025, follows reports on a leaked draft of the plan earlier this month. Read more.

Additional California News and Analysis

Oil and gas

• The California Public Utilities Commission (CPUC) voted to allow the struggling Crimson California Pipeline LP to increase its rate from Los Angeles Basin oil fields to Los Angeles refineries by 26%. Greenwire (November 21, 2025).

• Chevron argued in a paid article in Axios that California must “act now to encourage investment in refinery capacity and infrastructure, adopt energy policies that keep gasoline prices affordable for Californians and simultaneously strengthen the economy.” Axios (November 18, 2025).

• The Energy Information Administration found that while natural gas generation still provides more electricity than any other source in California, electricity generation from natural gas has decreased over the past several years while generation from solar has increased. U.S. EIA (November 24, 2025).

Commentary and analysis

• Stu Turley, “Gavin Newsom’s Total War on Oil and Gas Has Been a Giant Success – In Fact, Too Successful, with Jet Fuel Shipped in from India,” Energy News Beat, November 17, 2025.

• Vince Fong, “Newsom’s war on energy is crippling California and undermining our military,” Fox News, November 24, 2025.

• U.S. Rep. Robert Garcia, “Commentary: ‘Drill, Baby, Drill’ is dead wrong for California,” Los Angeles Times, November 20, 2025.

Offshore oil drilling

Commentary and analysis

• Mike Stoker, “History is (Unfortunately) About to Repeat Itself,” Santa Barbara Current, November 19, 2025.

Offshore wind

• The Trump administration’s move to reopen California’s coastal waters to offshore oil drilling could risk a direct collision with the state’s emerging floating-wind industry. Axios (November 21, 2025).

Carbon emissions

• The California Air Resources Board (CARB) approved changes to California’s regulations on methane emissions from landfills. CARB (November 20, 2025); Politico (November 20, 2025).

• Liza Gross, “California Is Finally Updating Its Methane Landfill Rule,” Inside Climate News, November 20, 2025.

• An environmental justice leader resigned in protest from a committee advising the California Air Resources Board, stating that the board was dismissing science “at the expense of low-income communities and communities of color.” E&E News (November 19, 2025); Inside Climate News (November 21, 2025).

• The Los Angeles Board of Harbor Commissioners approved an agreement with the South Coast Air Quality Management District (South Coast AQMD), Port of Los Angeles, and Port of Long Beach to accelerate development and implementation of zero-emission technology and infrastructure at both ports. The cooperative agreement covers all major port emission source categories, including cargo handling equipment, harbor craft, trucks, trains and ocean-going vessels. Port of Los Angeles (November 20, 2025).

Power and utilities

• “How Will CAISO Navigate the Path to Decarbonization?, Aurora Energy Research, November 20, 2025.

Commentary and analysis

• Edward Ring, “Shifting Costs Does Not Solve California’s Electricity Shortages,” California Policy Center, November 19, 2025.(Report: The High Cost of Electricity in California.)

Data centers

• The Little Hoover Commission held a virtual hearing on data centers and California electricity policy. This hearing focused on framing the landscape around data centers and California’s electricity system. The full agenda, along with the background materials provided to commissioners can be accessed here. Little Hoover Commission (November 20, 2025).

Coal

• Oakland reneged on a contract allowing coal shipments, leading to legal rulings against the city that could cost it hundreds of millions of dollars. NYT; SFIST (November 24, 2025).

Politics

Commentary and analysis

• Mandi Risko, “As California Democrats Move to Center on Energy Amidst Affordability Concerns, Billionaire Tom Steyer Misses the Mark,” Energy in Depth, November 21, 2025.

Energy policy

• Caleb Jasso, “California’s Green Gambit: A Timeline,” Institute for Energy Research, November 19, 2025.

Additional News and Analysis

Oil and gas

• Protests against oil pipelines with the slogan “keep it in the ground,” they don’t end up keeping most oil in the ground, and their efforts may even have side effects, like increasing air pollution when the oil is transported in other ways. Axios (November 25, 2025).

Offshore oil drilling

• The Interior Department will skip the standard environmental analysis for its five-year offshore drilling plan, a break from the agency’s decadeslong practice. E&E News (November 25, 2025).

International climate policy

• Senator Sheldon Whitehouse warned of an international climate community ready to charge forward without the United States. He said China, in particular, was “very dominant” in its public-facing presence at the conference. E&E News (November 21, 2025).

• Laurence Tubiana, “Trade policy is central to the green transition,” FT, November 19, 2025.

Hydrogen

• Exxon Mobil has paused plans to build what would be one of the world’s largest hydrogen production facilities due to weak customer demand. Reuters (November 21, 2025).

Critical minerals

• Camilla Hodgson, Cordu Krubally-N’Diaye, and Martha Muir, “Can the US break China’s grip on rare earths?,” FT, November 9, 2025.

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From the California Energy Journal

Business Groups Petition U.S. Supreme Court to Pause California Climate Law (November 17, 2025) – The U.S. Chamber of Commerce and other industry groups filed an emergency appeal on November 15, 2025, requesting the U.S. Supreme Court to put California’s climate reporting laws on hold while legal challenges continue. The laws take effect January 1, 2026. Read more.

Trump Offshore Drilling Plan Focuses on Santa Barbara Coast (November 13, 2025) – The Trump administration is proposing to offer six lease sales off the coast of California between 2027 and 2030 as part of its five-year offshore drilling plan. The proposed lease sales would primarily be offshore from Santa Barbara County, where Sable Offshore Corp. is looking to restart three drilling rigs in federal waters. Read more.

Additional California Developments

Oil and gas

• Sable Offshore raised the $225 million it needed to keep it afloat. Had the company not been able to raise those funds, ExxonMobil would have called Sable’s loan — just shy of $700 million — early next year. Santa Barbara Independent (November 11, 2025).

• Governor Gavin Newsom signaled that state regulators are making progress on blunting the impact of the impending closure of two of the state’s nine gasoline-producing oil refineries. E&E News (November 13, 2025).

• The Valero refinery in Benicia is set to close by spring 2026. A city-commissioned report projects the loss of more than $10.6 million in annual revenue and up to 1,200 jobs including indirect impacts. Richmond Standard (Chevron) (November 14, 2025).

Commentary and analysis

• Blanca Begert, “An Oil Company Running Into Rough Waters off the California Coast Is Looking to Trump for Help,” Inside Climate News, November 11, 2025.

• Collin Eaton, “Trump’s Offshore Drilling Push Faces Deep-Rooted Opposition in California, WSJ, November 13, 2025.

• Simon Montlake, “Make Oil Great Again? Even California drills as global climate action stalls,” Christian Science Monitor, November 12, 2025.

• Dan Walters, “Newsom’s gas price crusade morphs into bid to keep refiners open,” Cal Matters, November 14, 2025.

Power and utilities

• The California Public Utilities Commission (CPUC) proposed to reduce profit margins for investor-owned utilities. This would reduce returns on equity to between 9.73% and 9.98% for Pacific Gas & Electric, Southern California Edison, and San Diego Gas & Electric. CPUC (November 14, 2025).

Climate policy

• Governor Gavin Newsom assured an audience at the COP30 climate summit in Brazil that his state would continue to prioritize green technology, while blasting U.S. President Donald Trump’s “dumb” decision to reverse the federal government’s course on climate action. Reuters (November 11, 2025). Fox (November 14, 2025.

Commentary and analysis

• Melody Gutierrez, “At Brazilian climate summit, Newsom positions California as a stand-in for the U.S.,” Los Angeles Times, November 12, 2025.

Storage

• California added 1,200 megawatts of battery energy storage to its electrical grid over the last six months, state officials said. With the latest additions, the state has reached 16,942 megawatts of available battery storage — about one-third of the estimated capacity needed to reach its goal of 100% clean energy by 2045. Los Angeles Times (November 13, 2025).

Data centers

• A new report released this week by the environmental think tank Next 10 and a UC Riverside researcher attempts to quantify that impact of data centers on the state’s grid, but its authors say the report is only an estimate without harder data from the centers themselves. Cal Matters (November 14, 2025).

Additional News

Oil and gas

• The International Energy Agency reported that renewable energy is still expanding faster than fossil fuels around the world, while demand for oil and gas could continue to grow until 2050. France 24; (November 12, 2025). WSJ (November 12, 2025).

Wind and solar

• A new report states that 76% of solar projects and 86% of wind projects slated to come online by the end of 2028 are already safe-harbored. Those projects account for around 33 gigawatts of capacity eligible for tax credits. Latitude Media (November 13, 2025).

Carbon pricing

• A delay to the European Union’s new carbon-pricing system may weigh on the outlook for inflation and potentially revive calls for more interest-rate cuts. Bloomberg (November 11, 2025).

• Lawmakers in the European Parliament agreed to exempt more companies from green reporting rules after the center-right, right-wing and far-right groups allied to pass the EU’s first omnibus simplification package. Politico (November 13, 2025).

Carbon reporting

• Carbon Measures, founded last month and backed by U.S. energy giant Exxon Mobil, aims to create an accounting system based on the direct emissions of products and one that avoids the double counting seen in current supply-chain—or Scope 3—reporting. WSJ (November 10, 2025).

Emissions trading

• Pennsylvania left the Regional Greenhouse Gas Initiative. Democratic Governor Josh Shapiro said he was focused on “cutting costs” when he signed a budget deal that exits the Northeast’s cap-and-trade system in exchange for Republicans supporting about $2 billion in additional spending. E&E News (November 13, 2025). E&E News (November 17, 2025).

Data centers

• US data center developers are flooding utilities with inflated growth plans, muddying efforts to plan for future power needs with projects that may never materialize. Developers are approaching multiple utilities with the same project in a quest to find the lowest-priced power. FT (November 12, 2025).

International

• Democratic Rhode Island Sen. Sheldon Whitehouse was the sole representative of the U.S. government at global climate summit COP30. E&E News (November 14, 2025).

EVs

Commentary and analysis

• David Ferris, “Why Trump Couldn’t Stop the Electric Vehicle Dream,” Politico, November 14, 2025.