The Case for Domestic Production
Why
California Oil
California crude oil is produced under the most rigorous regulatory framework on earth. Every barrel extracted here is measured, monitored, and penalized for emissions. Not one barrel imported from abroad operates under the same rules.
When California restricts domestic oil production, it doesn't reduce the state's demand for oil — it simply shifts that demand to producers in Iraq, Saudi Arabia, Brazil, and Ecuador, where none of California's environmental or labor protections apply.
In 2025, California imported 289.7 million barrels of crude from foreign countries — 61% of all crude refined in the state — while producing only 22.9% from California fields and 16% from Alaska. Every barrel imported from abroad travels thousands of miles by ocean tanker, produced under regulatory standards that bear no resemblance to those imposed on California operators.
California oil production is overseen simultaneously by nine or more separate regulatory bodies — federal, state, and regional — each with independent authority to shut down operations, levy fines, and require remediation. No equivalent regulatory structure exists in any of California's top ten foreign crude suppliers.
The California Independent Petroleum Association summarizes the situation plainly: "California oil is the cleanest, most stringently regulated oil in the world." And yet, every barrel of California crude displaced by regulatory shutdown is replaced by a barrel from a country operating with minimal accountability and zero California oversight.
The Case in Three Arguments
Most Regulated Oil on Earth
California oil operators must simultaneously satisfy the requirements of every agency listed below. No other oil-producing jurisdiction in the world requires this level of multi-agency, independently enforced oversight.
- CalGEM permits every well — drilling, operation, and closure
- CARB monitors and limits methane emissions at each site
- CARB LCFS assigns and tracks carbon intensity per barrel
- State Water Board protects all groundwater and surface water
- US EPA conducts independent federal oversight
- California Coastal Commission governs offshore operations
- County land use agencies require local environmental review
Measured, Reported, Penalized
California crude is the only oil that arrives at California refineries with independently verified, continuously monitored emission data. Foreign crude arrives with none.
- CARB LCFS assigns every California field a verified carbon intensity score based on real production data
- Methane emissions are measured well-by-well and capped by regulation
- No ocean tanker voyage — California crude travels ~50–200 miles by pipeline
- Oil spill risk: zero transoceanic voyages vs. 9–12 tanker transits per Iraq shipment
- Wastewater disposal strictly regulated under the Safe Drinking Water Act
- Iraq, Ecuador, and Brazil have no equivalent verified reporting requirement
Jobs, Rights & Accountability
California oil production supports tens of thousands of high-wage jobs under the strongest labor protections in the country. Imported oil transfers those economic benefits — and environmental costs — abroad.
- ~150,000 California jobs in direct and related oil production (CIPA)
- Workers protected by California Labor Code, OSHA, and federal law
- Tax revenues stay in California communities
- Iraq, Saudi Arabia: labor rights protections minimal to absent
- Ecuador: documented human rights impacts on indigenous communities
- Shipping crude from Iraq emits ~0.5–1.0 MT CO₂ per tanker voyage in bunker fuel alone
More Than 25 Layers of Regulatory Oversight
Every California oil operator must satisfy all of the following simultaneously. Foreign crude suppliers answer to none of them.
US EPAConducts independent federal oversight of California's Underground Injection Control program. Enforces Clean Air Act and Clean Water Act standards at California operations.
BLMOversees oil and gas operations on federal public lands in California. Issues federal drilling permits and enforces environmental regulations on all BLM-managed acreage.
USFWSFederal Endangered Species Act compliance for all California oil operations. Can halt or restrict projects that threaten listed species or critical habitat.
BSEEFederal regulator for offshore oil and gas safety and environmental compliance. Inspects offshore platforms and enforces spill prevention and containment requirements.
PHMSAU.S. DOT agency regulating pipeline safety and hazardous materials transport. Sets design, construction, and operational standards for all California oil pipelines.
FMCSAU.S. DOT agency overseeing safe transport of oil and hazardous materials by truck. Enforces hours-of-service, vehicle inspection, and driver qualification rules.
TSADHS security oversight of California pipeline and critical energy infrastructure. Issues security directives and conducts inspections at oil transportation facilities.
USCGOversees offshore and marine oil spill prevention, response, and vessel safety. Enforces the Oil Pollution Act on all coastal and navigable waters of California.
CalGEMPermits every well drilled, operated, and permanently closed in California. Repository of 170,000+ well records. Sets minimum construction, casing, and cementing standards.
CARBEnforces the Low Carbon Fuel Standard, assigns field-level carbon intensity scores, caps methane emissions from oil and gas operations, and levies per-barrel compliance obligations.
SWRCBProtects groundwater and surface water statewide. Regulates produced water disposal and requires permits for any injection into underground formations.
RWQCBEach region enforces independent water quality standards and has authority to issue cease-and-desist orders for any operation threatening local water supplies.
DTSCRegulates generation, transport, treatment, and disposal of hazardous waste from California oil operations. Oversees remediation of contaminated oil field sites.
CDFWReviews all oil operations for impacts to listed species and sensitive habitats. Can require biological surveys and mitigation measures prior to any site disturbance.
OSPREnforces California's Oil Spill Prevention and Response Act. Requires spill contingency plans and financial responsibility assurances from all California oil operators.
Cal OESCoordinates statewide emergency response to oil spills and pipeline incidents. Oversees the Emergency Response Training program for California oil operators.
CECTracks and publishes all California crude supply and import data. Maintains power plant siting authority and long-term energy planning oversight.
CPUCRegulates intrastate pipeline safety and gas utility operations. Has authority to order pipeline shutdowns, repairs, and operational restrictions.
SLCManages state tidelands and submerged lands including state offshore oil leases. Enforces environmental conditions on all state-owned mineral rights leases.
CCCHas authority to approve, condition, or deny any coastal or offshore oil development. Enforces the California Coastal Act, including habitat protection and public access.
DOCHouses CalGEM. Oversees production reporting, well data publication, and land subsidence monitoring. Maintains public databases of all well production and injection statistics.
Cal OSHAEnforces worker health and safety standards at all California oil facilities and well sites. Conducts unannounced inspections and can halt operations for violations.
CUPAAdministers hazardous materials business plans, chemical inventory reporting, and underground storage tank requirements at California oil facilities.
CAL FIREFire safety inspections and flammable liquid regulations at all California oil production, storage, and refining facilities statewide.
CHPEnforces hazardous materials transportation regulations on California highways. Inspects tanker trucks and enforces placarding and spill response requirements.
Require project-level environmental review (CEQA) for new oil facilities. Local communities hold independent authority to impose conditions, restrict hours, or deny permits.
By contrast: Crude imported from Iraq is regulated solely by the Iraqi Ministry of Oil. There is no equivalent of CARB, the Clean Water Act, independent methane monitoring, verified carbon intensity reporting, or community environmental review. The same is true for every other top foreign supplier.
California vs. Foreign Crude — Side by Side
The same barrel of oil. A world apart in accountability.
California Crude
Iraq / Brazil / Ecuador
"Every day Californians consume 1.5 million barrels of oil in the form of fuel, roads, home and personal goods, and even medical equipment. Yet only about 23% of that demand is met by energy produced here in California, under the strictest laws, rules, and regulations in the world. The remaining 77% is tankered in from foreign countries who don't share our values when it comes to human rights, neighborhood safety, or protection of the environment."California Independent Petroleum Association (CIPA) — cipa.org
Foreign Sources of Crude Oil Imports to California
The countries supplying California's refineries — none subject to CARB, CalGEM, or California water law.
Source: California Energy Commission · Select year to compare
Share of California refinery crude supply, 2025. Source: California Energy Commission.