The true cost of fossil fuel production
We need a Climate Superfund to protect California communities and taxpayers from the climate emergency
For far to long Big Oil has polluted the planet without any apparent regard to what damage fossil fuels do to the environment. We now know. The UN has stated we must stop this pollution if we want to mitigate the climate crisis and the extreme weather it brings. California communities are under siege by escalating fires, floods, droughts, and other disasters. From 1980–2024, 46 extreme weather and climate disaster events impacted California, with losses exceeding $1 billion each.
As the world saw vast areas of Los Angeles and Ventura Counties burn in January 2025 the reality of the level of destruction that the climate crisis can inflict hit home. Globally, just 57 companies are attributed with 80% of planet-heating pollution. Yet these companies rake in billions every year. Chevron, for example, put away $30 billion in profits in 2023. Meanwhile, California is facing a budget shortfall of $32 billion and growing after the L.A. fires — which killed 29 people and burned over 18,000 structures, according to NBC News.
Fires are getting worse because of rising temperatures. Yet those responsible for the lion’s share of that rise are “desperately trying to avoid accountability,” said former Culver City mayor Meghan Sahli-Wells, EOPA California Director, in the Guardian. “Accountability is an existential threat to their business model, and their business model is an existential threat to all of us.”
Californians and the state have been saddled with the massive bill for climate disasters. Cities and counties have had to pick up the tab for the costs of climate destruction, stretching scarce local resources.The California Polluters Pay Climate Superfund Act would change that by requiring the largest fossil fuel polluters to pay their fair share for the climate damage they’ve caused and prioritize funds for the hardest hit communities.
California is the fifth largest economy in the world. Californian climate leadership – standing up to Big Oil by making the worst fossil fuel polluters pay for climate damage – would mean the world to every community in California, other states, and to nations around the globe. New York passed a climate superfund bill in December 2024, following Vermont.
The California Polluters Pay Climate Superfund Act is groundbreaking legislation that would make the world’s largest fossil fuel companies pay for the climate damage their products have inflicted on California. Elected Officials to Protect America (EOPA) California have a letter urging the creation of the Polluters Pay Climate Superfund Act. Please sign it if you are a current or former California elected official.
The Superfund Act will direct CalEPA to complete a first-of-its-kind comprehensive study of the true cost of climate damage to ensure polluters pay their fair share. The Act will hold the largest polluters accountable for the costs to California from climate damage caused by their products with compensatory fee amounts proportional to companies’ self-reported past emissions from 1990-2024.
The policy advances California’s commitment to equity and environmental justice. At least 40% of funds from the Polluters Pay Climate Fund will go to disadvantaged communities to remedy past climate damages and build a more resilient and equitable California. The funds will support urgently-needed projects such as implementing wildfire prevention measures like home hardening, upgrading stormwater management systems to prevent flooding, and installing solar panels and energy storage systems to reduce energy costs and increase resilience during power outages. Additionally, these funds could help develop urban green spaces to mitigate heat islands and improve air quality. Importantly, it could fund programs to support first responders and additional workers who provide essential services during climate disasters
The Public Health Damage
EOPA California demands action from Gov. Newsom to protect the health of all Californians on our way to 100% clean energy. If you are a current or former CA elected official please sign join over 500 of your fellow elected officials who have signed our letter HERE.
The evidence is in – we know exposure to toxic air contaminants and other pollution caused by oil and gas wells is a significant threat to public health, and disproportionately affects disadvantaged communities and people of color.1
The state of California has found that the most significant health impacts occur within one half mile of oil and gas drilling. According to the California Council on Science and Technology, the greatest health risks occur within one-half mile from active oil and gas development,7 yet nearly 8,500 active California oil and gas wells are within 2,500 feet of homes, schools, and hospitals.8
California only enacted a statewide policy limiting the proximity of new oil and gas wells to homes and vulnerable areas like schools, parks, and hospitals in 2022 by 3,200 feet. But as of December of 2022, there is a challenge to the law with a public referendum, which collected signatures unlawfully. EOPA California continues to fight for those safety setbacks and to have them encompass all existing oil and gas wells.
Worsening the Climate Crisis
Oil and gas drilling in California on land or in the ocean deepens the global climate crisis and harms our air, water and land and the lives of all Californians:
Production of oil and gas is a significant contributor to California’s greenhouse gas emissions,2 with particulates polluting the air we breathe.
Three-quarters of California’s oil production is as dirty as Canada’s tar sands crude for the climate.3
The public health and climate impacts of fossil fuels already cost Californians more than 12,000 lives and one hundred billion dollars annually.4
The oil and gas industry contributes less than 0.3 percent of California’s GDP and a small number of jobs.5, 6
1. Srebotnjak, Tanja and Miriam Rotkin-Ellman, “Drilling in California: Who’s at risk?,” Natural Resources Defense Council, October 2014, p. 4. https://www.nrdc.org/sites/default/files/california-fracking-risks-report.pdf
2. California Air Resources Board, “California’s 2017 Climate Change Scoping Plan,” November 2017, p. 7. https://www.arb.ca.gov/cc/scopingplan/scoping_plan_2017.pdf?_ga=2.253665481.1304555220.1515158610-304097323.1509477659
3. Oil Stain. How Dirty Crude Undercuts California’s Climate Progress. Center for Biological Diversity. November 2017. https://www.biologicaldiversity.org/programs/climate_law_institute/energy_and_global_warming/pdfs/Oil_Stain.pdf
4. Jacobson, Mark Z. et al. “A roadmap for repowering California for all purposes with wind, water, and sunlight.” Energy (2014). https://web.stanford.edu/group/efmh/jacobson/Articles/I/CaliforniaWWS.pdf
5. U.S. Bureau of Economic Analysis, “Gross domestic product (GDP) by state (millions of current dollars),” January 24, 2018. https://www.bea.gov/iTable/index_regional.cfm
6. U.S. Bureau of Labor Statistics (BLS) and California Employment Development Department’s (EDD) Labor Market Information Division, “Quarterly Census of Employment and Wages: Industry Information,” industry codes 211 (Oil and gas extraction) and 213 (Support activities for mining), accessed April 2018. https://data.edd.ca.gov/Industry-Information-/Quarterly-Census-of-Employment-and-Wages-QCEW-/fisq-v939
7. California Council on Science and Technology (CCST), “An Independent Scientific Assessment of Well Stimulation in California: An Examination of Hydraulic Fracturing and Acid Stimulations in the Oil and Gas Industry – Summary Report, “ July 2015, p. 63. https://ccst.us/publications/2015/2015SB4summary.pdf
8. Oil Change International. The Sky’s Limit California: Why the Paris Climate Goals Demand that California Lead in a Managed Decline of Oil Extraction. May 2018. http://priceofoil.org/content/uploads/2018/05/Skys_Limit_California_Oil_Production_R2.pdf