California Approves 20,000 New Oil Wells Despite Being ‘Second Only to US in Methane Leaks’

September 16, 2025
1 min read
An oil pumpjack (nodding donkey) extracting crude oil in a desert landscape, with the mechanical arm mid-cycle against a clear sky.
California's controversial Senate Bill 237 will allow up to 20,000 new oil wells over the next decade, exempting drilling operations from environmental review despite concerns about pollution and health risks in Kern County. Photo Source: Flcelloguy/Wikimedia Commons. (CC BY-SA 3.0)

California lawmakers recently passed Senate Bill 237, allowing up to 2,000 new oil drilling permits yearly in Kern County with reduced environmental oversight. The bill exempts drilling from California Environmental Quality Act (CEQA) review for the next decade, potentially enabling 20,000 new wells over that period.

The legislation passed as a last-minute “gut and amend” measure with limited public input, drawing sharp criticism from environmental advocates. Hollin Kretzmann, an attorney at the Center for Biological Diversity, called it a “reckless ‘drill, baby, drill’ bill” and “a deep betrayal of Californians’ trust and values.”

Supporters claim the bill will help stabilize fuel supplies and lower gas prices as refineries close across the state. Phillips 66 plans to shutter its Los Angeles facility by late 2025, while Valero will close its Benicia refinery in 2026. Together, these closures will eliminate roughly 17-18% of California’s refining capacity.

“Our oil industry has been under incredible attack from the state of California, and for the first time in the last 10 years, we have seen a change of heart out of Sacramento,” said Kern County Board of Supervisors Chair Leticia Perez.


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Some legal experts argue CEQA exemptions are unlikely to affect pump prices, noting that production declines are driven by structural factors rather than regulations. The bill comes amid high refining margins, with April 2025 figures showing $1.02 per gallon for refining and $0.69 per gallon for distribution.

Community health advocates warn of increased pollution. Oil wells emit nitrogen oxides, methane, and toxic chemicals like benzene and formaldehyde linked to cancer and respiratory problems. These health risks disproportionately affect Kern County residents already living in one of the nation’s most polluted regions.

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“California has an image of being a green haven, but if we were a country, we would be second only to the United States in terms of methane leaks from oil and gas infrastructure,” said Cesar Aguirre of the Central California Environmental Justice Network.

As California continues pushing toward clean energy goals, including plans to phase out gasoline-powered cars by 2035, the bill represents a significant shift in the state’s approach to fossil fuel production. The conflict highlights tensions between immediate economic concerns and long-term environmental and health priorities facing California’s energy landscape.

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