Federal plans to expand offshore oil drilling leases are drawing strong opposition from California lawmakers, environmental groups, and local officials, who argue the policy threatens marine ecosystems and the state’s coastal economy. Despite no immediate drilling set for California waters, the Department of the Interior has announced plans to begin lease auctions in 2027, including six sales along Southern, Central, and Northern California.
Lieutenant Governor Eleni Kounalakis and state legislators representing coastal communities say the proposal is at odds with decades of bipartisan opposition to offshore drilling. Assemblymember Gregg Hart, D-Santa Barbara, recalled the 1969 oil spill in his district as a formative event, describing scenes of pelicans drowning in oil and sludge muting the waves. The disaster spilled over 4 million gallons into the Pacific and helped inspire the creation of Earth Day.
Santa Barbara County officials say oil operations have generated over $500 million in revenue since drilling began, but estimated $330 million in damage from oil spills. Environmental groups argue the risks outweigh the benefits, citing economic dependence on clean beaches, tourism, and fishing. The Santa Barbara County Board of Supervisors recently denied permits for Sable Offshore Corp., which had purchased ExxonMobil’s platforms, as part of an ongoing phase-out of existing operations.
Opponents, including Rep. Salud Carbajal, D-Santa Barbara, claim the Trump administration’s energy push is reckless and favors oil executives at the expense of public health and environmental stability. Federal lease sales held in the Gulf of America in December drew 219 bids from 26 companies, signaling industry appetite for expanded offshore access. More auctions are planned in Alaska and other coastal zones through 2026.
Supporters of the plan argue offshore drilling is safer than ever thanks to improved technology and that new energy production would reduce fuel costs and dependency on foreign oil. Assemblymember Stan Ellis, R-Bakersfield, who has a background in the oil industry, dismissed environmental concerns, citing advances like smart sensors and real-time data collection that improve safety and response capability.
Economic voices such as Andy Caldwell of the Coalition of Labor, Agriculture and Business warn that California is approaching an energy crisis due to the shutdown of refineries. He pointed to refinery closures and dwindling supply as key factors behind California’s high gas prices, which average $4.20 per gallon—nearly $1.40 more than the national average. Without new oil supplies, prices could rise even further, affecting everything from transportation to food costs.
Still, researchers at the University of California, Santa Barbara argue that the economic risks of offshore drilling outweigh the returns. UCSB Professor Paasha Mahdavi noted that tourism, coastal fisheries, and hospitality form the backbone of Santa Barbara’s economy—not oil. He predicted the state would challenge federal overreach in court, anticipating that some of the Trump administration’s plans may be rolled back through litigation.
Platform Holly, located near UCSB, remains in caretaker status and is being decommissioned by the California State Lands Commission following the 2024 bankruptcy of its previous operator. State officials continue to explore pathways to reduce offshore drilling while weighing the economic, legal, and environmental stakes of the Trump administration’s energy agenda.

