Newsom strikes deal extending California cap and trade, boosting oil production

By Maya C. Miller, Alejandro Lazo and Jeanne Kuang | CalMatters

California legislative leaders in the wee hours of Wednesday morning reached an agreement with Gov. Gavin Newsom to extend the state’s greenhouse gas emissions reduction program, known as cap and trade, through 2045 — a contentious expansion that for weeks stewed in backroom discussions, held up other critical legislation and roiled insiders.

Democratic leaders in the Assembly and Senate also struck compromises on bills to increase domestic oil production in California through new drilling permits and rehabilitating a defunct offshore pipeline; establish a state fund to monitor pollution mitigation in disadvantaged communities; re-up the state’s wildfire liability fund by $18 billion; and join neighboring states’ utilities