Federal judge allows California oil pipeline operation

A federal judge ruled that Sable Offshore’s California coast pipeline operations can continue under a federal framework, transferring regulatory oversight from the state to federal authorities. The decision also found that while Sable violated a federal consent decree, the Defense Production Act order from the Trump administration preempts state enforcement, allowing operation to proceed. The ruling shifted oversight to federal agencies and underscored that PHMSA, not the California regulator OSFM, is now the relevant regulator for restart conditions. The judge also imposed a $1.5 million fine for the alleged consent-decree violations. Supporters of the federal intervention argued it was necessary to address national energy security and supply concerns, while California officials and environmental groups criticized the preemption of state law. The development marks a notable example of federal action superseding state regulatory authority in a contentious offshore oil project.