Newsom floats draft bill language to streamline new drilling in existing oil fields

By Alex Nieves | 07/21/2025 07:02 AM EDT

The proposal would allow oil companies to drill new wells, but also require them to abandon and cap existing wells.

FILE - In this Jan. 16, 2015, file photo, pumpjacks operate at the Kern River Oil Field in Bakersfield, Calif. Tracy Stone-Manning, a Montana environmental advocate, has been nominated to lead the Bureau of Land Management, which oversees oil and gas drilling, grazing and other activities on roughly a quarter-billion acres of federal lands in western states. (AP Photo/Jae C. Hong, File)

Gov. Gavin Newsom is looking to make it easier for new drilling in existing oil fields. AP

California Gov. Gavin Newsom’s office is circulating draft bill language that would streamline drilling new oil wells in the state as part of his efforts to stabilize gasoline prices and keep refineries open.

What happened: Newsom (D) is proposing to ease permitting for new wells in existing fields that meet certain environmental standards, according to draft bill language that environmental justice groups publicized Thursday.

Newsom spokesperson Daniel Villaseñor said in a statement that the language was in draft form and subject to further negotiations.

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“We continue to work with the legislature on policy that will help stabilize California’s petroleum market while ensuring a safe, reliable, and affordable supply of transportation fuels — consistent with the recommendations from [California Energy Commission] Vice Chair [Siva] Gunda and the Petroleum Strategy Task Force,” he said.

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