California officials have filed a federal lawsuit challenging a Trump administration directive to restart a long-idled offshore oil pipeline along the Santa Barbara coast, escalating a legal dispute over federal authority and state environmental regulation.
Attorney General Rob Bonta announced Monday that the suit, filed in federal court in San Francisco, targets a March 13 order issued by U.S. Energy Secretary Chris Wright. The directive invokes the Defense Production Act to compel the reopening of the pipeline, which has been shut down for more than a decade.
State officials argue the move unlawfully bypasses California regulatory authority and conflicts with an existing federal consent decree governing the facility, according to Cal Matter.
“No matter how much President Trump may claim there’s a so-called national energy emergency — it’s just not true,” Bonta said during a press briefing. “The U.S. already produces significantly more oil and gas than we use — it’s a completely fabricated claim intended to curry favor with the oil industry.”
At the center of the dispute is Sable Offshore Corp., which acquired the pipeline system from ExxonMobil in 2024. The company has said restarting operations could increase production from about 30,000 barrels of oil equivalent per day to more than 50,000, with output routed to refineries in Los Angeles, Bakersfield, and the Bay Area.
California’s lawsuit contends that the Defense Production Act—enacted during the Cold War—allows the federal government to prioritize contracts in emergencies but does not authorize officials to override state environmental and safety laws or mandate the reopening of shuttered infrastructure. State attorneys argue that no qualifying energy emergency exists to justify invoking those powers.
The case sets up a legal confrontation between the Trump administration and Sable Offshore on one side, and California officials alongside environmental groups on the other. It comes as fuel prices have risen amid ongoing tensions tied to the conflict with Iran.
Gasoline prices in California have surged sharply in recent weeks, adding pressure to the broader energy debate and revealing that Democrats will prioritize their environmentalist base over ordinary people. The statewide average has climbed to roughly $5.76 per gallon—nearly $2 higher than the national average—with some stations in Los Angeles approaching $9 per gallon. Analysts attribute the spike in part to global supply disruptions tied to tensions in the Strait of Hormuz, while policymakers in Sacramento have begun weighing responses ranging from gas tax relief to increased in-state production.
Environmental advocates have warned that restarting the pipeline could pose risks to coastal ecosystems and wildlife, while offering limited impact on gasoline prices. They have also raised concerns about the broader implications for federal preemption of state authority.
The administration’s order follows a March 3 legal opinion from the Department of Justice suggesting that emergency powers could override state regulations and potentially supersede a 2020 consent decree requiring approval from the California State Fire Marshal before the pipeline can resume operations.
Sable Offshore is already facing multiple legal challenges. In December, the Pipeline and Hazardous Materials Safety Administration classified the pipeline as interstate infrastructure and issued an emergency permit for restart efforts. That decision is currently being contested in the 9th U.S. Circuit Court of Appeals.
Separately, a Santa Barbara County Superior Court judge in February upheld an injunction requiring Sable to obtain state-level approvals before resuming operations, finding that prior federal actions were insufficient to lift the shutdown order.
