California Coastal Commission Imposes $18 Million Fine on Oil Company
SANTA BARBARA, Calif. — In a significant ruling celebrated by environmental advocates, the California Coastal Commission has levied an $18 million fine against Sable Offshore Corporation. The fine comes in response to the company’s failure to secure essential permits while attempting to resume oil production along the Gaviota Coast.
Background and Findings
During a recent hearing, the Commission determined that Sable Offshore Corp. has been in violation of the California Coastal Act by making repairs to oil pipelines near Santa Barbara without the required approvals. The company has allegedly undertaken extensive pipeline upgrades and repairs over the past several months.
“The Coastal Act is the law, established by the will of the people,” stated Commissioner Meaghan Harmon, emphasizing the significance of adherence to regulations. She characterized Sable’s actions as a direct challenge to the law enacted by the public.
Commission Actions
Alongside the financial penalty, the Commission ordered Sable to cease all pipeline development activities and mandated the restoration of land affected by their operations.
This ruling intensifies the ongoing conflict between the Coastal Commission and Sable officials, who contend that regulatory authority has been overextended. Sable asserts that it has received necessary approvals from the County of Santa Barbara and argues that the Commission’s oversight was only necessary for the initial construction proposals dating back decades.
Sable’s Vice President of Environmental and Governmental Affairs, Steve Rusch, released a statement indicating that the company is evaluating its options in response to the Commission’s orders. “We have the right to disagree with the Commission’s decision and to seek independent clarification,” Rusch said.
Future Developments
The dispute appears likely to escalate to legal action, as Sable has already filed a lawsuit against the Coastal Commission, questioning its jurisdiction over the project. Rusch criticized the Commission’s demands as part of an “arbitrary permitting process,” while maintaining the company’s commitment to a safe and efficient resumption of operations.
Community Involvement
The hearing drew significant public interest, with hundreds of attendees, including Sable supporters and activists sporting “Don’t Enable Sable” shirts. Environmental advocates expressed concerns regarding the potential impacts of Sable’s operations, recalling the devastating oil spills the area has previously experienced.
“We are at a critical crossroads,” declared Maureen Ellenberger, chair of the Sierra Club’s Santa Barbara and Ventura chapter. She highlighted ongoing community efforts to safeguard the coast that has been threatened for over fifty years.
Testimonies from local students underscored the community’s environmental consciousness. One student, Ethan Maday, shared, “None of us should be here right now — we should all be at school, but we are here because we care.”
Regulatory and Environmental Concerns
Sable’s initiative aims to reactivate the Santa Ynez Unit, which consists of three offshore oil platforms. The network is linked to the Las Flores pipeline system, which has a notorious history, including a major spill in 2015 that released approximately 140,000 gallons of crude oil.
Commission staff argued that Sable’s ongoing activities extend beyond necessary maintenance—highlighting a need for updated permits due to evolving environmental regulations. “Their work is extensive in scale and impact,” asserted Lisa Haage, the Commission’s Chief of Enforcement.
Looking Forward
Despite the fine and regulatory challenges, Sable anticipates that, once operational, the Santa Ynez Unit could produce around 28,000 barrels of oil daily and create approximately 300 jobs, alongside generating $5 million annually in local taxes. However, the company still faces numerous regulatory hurdles, including approvals from the state fire marshal and other agencies.
As this situation develops, the California Coastal Commission’s unanimous stance reinforces its commitment to environmental protection, with Harmon urging Sable to collaborate transparently with regulatory bodies for the benefit of the community and the environment. “We can have good, well-paying jobs and we can protect and preserve our coast,” she concluded.