California Environmental Law & Policy Update 9.26.25 | Allen Matkins
Focus
The Hill – September 19
The Hill – September 19Governor Gavin Newsom on September 19 signed into law a slate of climate and clean energy bills designed to “lower electricity costs, stabilize the petroleum market, and slash air pollution.” The measures include legislation to increase climate credits on utility bills, expand regional power markets in the West, add $18 billion to the California Wildfire Fund, and allocate $1 billion annually to a high-speed rail project. In addition, California’s cap-and-trade (now renamed “cap and invest”) program was reauthorized through 2045. Newsom also approved a bill to support more offshore drilling in Kern County.
News
The Oaklandside – September 22
Oakland’s decade-long coal dispute has officially come to an end, at least in the courts. Last Wednesday, September 17, the California Supreme Court declined to review a lower court ruling that effectively paves the way for a developer to build a marine export terminal that could potentially be used to export coal, among other bulk commodities, near the foot of the Bay Bridge. Earlier this summer, a state appeals court found that an Alameda County judge was correct when she ruled in 2023 that Oakland breached its contract with the Oakland Bulk and Oversized Terminal (OBOT). Phil Tagami, the developer behind OBOT, said that the proposed terminal project will proceed as originally proposed and that the first cargo ships could start leaving the new terminal in 2028.
Daily Breeze – September 25
The ports of Los Angeles and Long Beach, and the South Coast Air Quality Management District (SCAQMD) last Friday said they have reached a consensus on an updated draft Cooperative Agreement over a proposed rule by SCAQMD — known as the Indirect Source Rule — that would require the two ports to develop a plan by August 2027 to build charging and fueling stations to switch thousands of pieces of diesel equipment, trucks, and vessels to electricity and hydrogen. Negotiations among the parties have been ongoing, and a public meeting will take place in October to gather input on the draft agreement.
Transport Topics/Bloomberg – September 23
In a regulatory filing on Tuesday by the Alliance for Automotive Innovation, major automakers said they want the Trump administration to weaken tailpipe emissions standards that are pushing the industry to sell electric vehicles in larger numbers. They claim that regulations finalized under President Biden for model years 2027 through 2032 “are simply not achievable” due to factors including challenging market demand, charging infrastructure, and affordability issues. Critics have assailed the current administration for attacking policies to curb pollution from automobiles, one of the largest contributors of planet-warming emissions.
Manufacturing Dive – September 25
The U.S. Environmental Protection Agency (EPA) issued a proposed rule on Monday that could revise the risk evaluation process for existing chemicals under the Toxic Substances Control Act, or TSCA. The proposed rule includes modifications to the risk assessment of a chemical’s use; clarifying how EPA will determine occupational exposure controls, such as personal protective equipment; and clarifying the agency’s authorized purpose in determining which circumstances of a chemical’s use and exposure routes it will include in a risk evaluation. Trade groups such as the American Chemistry Council praised the EPA’s efforts, while environmental advocacy groups said the proposal weakens the agency’s review evaluations.
The Signal – September 22
Chiquita Canyon Landfill is seeking $9.5 million from Los Angeles County, claiming county officials “prejudicially abused their discretion” by refusing to return money that the landfill was charged for an expansion it couldn’t complete. After granting the landfill permission to expand through a conditional use permit, both L.A. County and the Regional Water Quality Control Board “took actions that individually forced Chiquita to close” on January 1, according to the landfill’s lawyers.
San Francisco Chronicle – September 25
A pipeline company will pay a penalty for spilling 40,000 gallons of gasoline into a Walnut Creek waterway, EPA announced this Tuesday. Kinder Morgan subsidy Santa Fe Pacific Pipeline (SFPP) agreed to pay $213,560 to resolve EPA’s claims that the company violated the Clean Water Act by discharging harmful levels of gasoline into the environment in November 2020 when the company’s underground pipeline cracked. Kinder Morgan and SFPP previously paid a $2.5 million fine after being sued by the state for the same spill and, five years later, are still cleaning it up. “While we disagree with any allegations of noncompliance, SFPP, L.P. is pleased to have reached a settlement regarding the Walnut Creek incident,” said a spokesperson for Kinder Morgan.
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