California Governor Gavin Newsom signed new legislation to reduce oil and gas production in the state, intensifying his ongoing battle with California's oil and gas industry. These laws increase the local government's authority to restrict oil operations and impose fines on average-producing oil wells, particularly in the Inglewood Oil Field near Los Angeles.
The new laws align with Newsom's broader climate agenda, which includes phasing out fossil-fuel-powered vehicles by 2045. His administration has also passed rules phasing out gas-powered lawnmowers, cars, trucks, and trains.
Despite Newsom's emphasis on positioning California as a climate leader, these laws force California to increase imports from foreign countries that are exempt from the state’s climate programs and make residents pay more at the pump.
Rock Zierman, Chief Executive Officer of the California Independent Petroleum Association, voiced strong opposition, stating:
"Courts have ruled these actions illegal, and this legislation will likely face a similar fate. It is based on false science and will result in lower local production, increased foreign imports, and higher gasoline prices."
One of the newly enacted laws imposes a $10,000 monthly fine on companies operating wells near the Inglewood Oil Field. The law mandates the closure and sealing of these wells by the end of 2030.