Sign In or Create an Account.

By continuing, you agree to the Terms of Service and acknowledge our Privacy Policy

Politics

Gavin Newsom Is Weaker on Climate When the Cameras Aren’t Rolling

There’s a growing disconnect between the governor of California’s words and actions.

•
Gavin Newsom.
Heatmap Illustration/Getty Images

As governor of California, Gavin Newsom has cultivated a reputation as a climate crusader who holds powerful polluters accountable for delay tactics.

“The climate crisis is, after all, a fossil fuel crisis. Period, full stop. And these guys have been playing us for fools,” Newsom told a crowd at New York’s Climate Week in September. He praised the state’s attorney general for accusing the oil industry of misleading the public on climate change. California may not be able to solve the problem on its own, Newsom argued, but when it comes to the oil companies, the Golden State “can illuminate their deceit.”

The governor then made news: He announced his intent to sign a pair of ambitious and contentious climate bills. Modeled on a similar proposal from the U.S. Securities and Exchange Commission, Senate Bills 253 and 261 will require large companies doing business in California to disclose their greenhouse gas emissions and analyze the financial risks they face from climate change. This is a big deal. With federal courts increasingly hostile to regulatory policymaking, the state’s leadership could prove particularly influential. Even if opponents of climate disclosure succeed in weakening the forthcoming SEC rule or convince a receptive court to overturn it, California’s requirements will still apply to any large company doing business in the state — which, due to the size of its economy, likely includes most of them.

So it was no surprise that the governor’s decision earned national headlines. But all the effusive coverage missed something else important: Back at home, Newsom signaled his intent to water down the rules and vetoed another critical piece of climate legislation that would have fought greenwashing.

When Newsom signed the climate disclosure bills on October 7, he issued parallel signing statements with a distinctly less supportive tone than he took in New York. While in September the governor called for “some cleanup” in follow-up legislation, in October he described the regulatory implementation timelines as “infeasible” and promised to work on legislation to extend deadlines. He also raised concerns about the “overall financial impact” of each bill on the business community, and directed the California Air Resources Board, which will implement both laws, to make recommendations to “streamline” the two programs.

No matter how pragmatic the governor’s aim, opening the door to relax both laws does not bode well for the upcoming rulemaking process. Although the California Air Resources Board has led the nation for decades with ambitious vehicle pollution standards, it regularly accommodates powerful interest groups at home and stalls the reform of underperforming climate programs. It also maintains the state’s official greenhouse gas emissions inventory, which is replete with creative accounting. Proponents of strong disclosure standards face an uphill battle, especially if the governor quietly backs interest groups that oppose them.

But that wasn’t the worst of it. The same day he signed the corporate disclosure bills, Newsom also vetoed Senate Bill 390, which would have clarified the application of California’s existing false advertising laws to the voluntary carbon offsets industry. (Disclosure: I co-authored an academic letter in support of the bill.) The governor’s veto was surprising because the bill received unanimous support on the floor of both houses of the state legislature, had no registered opposition, and limited any offsets-related violations to civil, rather than criminal, penalties.

Newsom’s veto raises fundamental questions about his views on anti-greenwashing laws. Companies violate California’s existing false advertising law today when they either know, or should know through “the exercise of reasonable care,” that their climate claims are untrue or misleading. In plain language, this is a negligence standard: a company that means well, but fails to take reasonable precautions to ensure the accuracy of its public marketing, could nevertheless be held accountable for false or misleading statements.

That’s as it should be. Although Senate Bill 390 would have retained the same standard for carbon offsets, the governor’s veto message raised concerns that the bill might penalize “unintentional mistakes” from “well-intentioned” offset market participants — including from carbon credit verifiers, the private parties responsible for auditing the accuracy of claims in today’s markets. He suggested that upholding truth-in-advertising standards could create “significant turmoil” beyond California’s borders, a notable contrast to his message of leadership on corporate disclosures.

Taken at face value, the governor’s veto message suggests that the carbon offsets industry should receive special treatment, with less accountability for marketing statements than any other industry faces under current law. This is hardly the right approach for addressing greenwashing in an industry that is famously rife with supposedly sincere but completely incredulous claims, such as the suggestion that without offset income, a conservation organization would have to cut down a forest it spent tens of millions of dollars to protect, or that a billionaire’s private hunting club would clearcut its own lands. Moreover, market turmoil is already here: offsets litigation is pending under current state law, high-profile projects are collapsing in the face of public scandals, and the global offsets market is poised to contract.

To the governor’s credit, he also signed Assembly Bill 1305, which requires companies to disclose their use of carbon offsets and the role those offsets play in meeting any corporate climate targets. This bill appears to be the first of its kind in the nation, with provisions that can be enforced by state and local governments. And to his credit, Newsom has championed many other high-profile climate policies during his time in office, too.

But when it comes to fighting greenwashing, there is a growing disconnect between the governor’s words and his actions — precisely the kind of gap that anti-greenwashing laws themselves are supposed to address.

California politicians like to promote the state as a climate leader that develops new policies for others to copy. Often the state’s role is transformative and catalytic, as could again be the case with strong corporate climate disclosure rules. But for all his hardline talk about California’s ability to “illuminate” industry deceit, Newsom’s actual stance on corporate climate accountability appears far more ambivalent.

The national media would do well to focus less on announcements and more on policy implementation, where actions matter a lot more than words — and where we need strong leadership the most.

Green
🔒

You’ve reached your free article limit

Subscribe to Heatmap News for unlimited access to daily energy and climate coverage.
To continue reading
Create a free account or sign in to unlock more free articles.
or
Please enter an email address
By continuing, you agree to the Terms of Service and acknowledge our Privacy Policy
AM Briefing

‘Starting to Fray’

On Greenland’s deepsea mining ban, Indonesia floating nuclear, and a solar boom

Data center construction.
Heatmap Illustration/Getty Images

Current conditions: Hurricane Trudy has weakened from its peak as a Category 2 storm but still threatens up to 8 inches of rain as it swirls off Baja California • A nor’easter is howling through the Mid-Atlantic this week, hammering the coast with winds of up to 70 miles per hour • A humid overcast has settled over Paris this week as French authorities struggle to regain control after protests over living costs gave way to anarchic riots.


THE TOP FIVE

1. America’s AI infrastructure boom ‘is starting to fray’

At least 47 major data center projects have been delayed, withdrawn, or blocked so far this year, according to data the regulatory intelligence service RegLayer shared with the Financial Times — and that may be a “conservative estimate.” Just 35% of planned data centers are “credible,” analysts told the newspaper, as more than 1,000 communities across the United States now have restrictions on artificial intelligence infrastructure. The data comes as investors look increasingly jittery about AI following ChatGPT-maker OpenAI’s missing a key revenue metric this year.

Keep reading...Show less
Blue
Spotlight

A Giant Data Center Offers a Permitting Reform Test Case

What would happen to Project Jupiter if the Bipartisan American Affordability and Jobs Act is passed?

Project Jupiter.
Heatmap Illustration/Project Jupiter, Library of Congress

One of the nation’s largest data centers is struggling under permitting woes. So let’s play a game: would the bipartisan permitting bill in Congress make the path easier, or might the federal legislation be irrelevant to large hyperscalers under development today?

Meet Project Jupiter, a mega project in southern New Mexico in Dona Ana County under development by Oracle and OpenAI, with financial backing from SoftBank and political support from the Trump administration for being a part of Stargate, a major Trump administration public-private initiative boosting AI development. Project Jupiter would be one of the largest data centers in the country if completed and currently is expected to run on a microgrid powered by fuel cells converting gas to electricity, which the developers claim will burn much cleaner than a typical off-grid gas turbine power plant.

Keep reading...Show less
Yellow
Hotspots

The Trump Administration Is Still Messing with Offshore Wind Farms

And more of the week’s top news around project fights.

The United States.
Heatmap Illustration/Getty Images

1. New England (and Maryland) – The Trump administration is still messing with offshore wind farms, even while trying to pass a permitting reform deal. Examining the court filings reveals why they may feel empowered to do it — and I’m not sure how this ends.

  • Last Friday, in a legal case brought by anti-wind activists, the Justice Department submitted a motion in federal court to send the construction and operations plan for Orsted’s Revolution Wind project in New England back to the Interior Department for more analysis. On Wednesday, the DOJ entered a similar motion in another case challenging the construction and operations plan for U.S. Wind’s MarWin project off the coast of Maryland in a lawsuit brought by the state’s coastal community of Ocean City.
  • Trump’s actions led some to question whether the president was sabotaging the deal, and others to claim the media coverage itself was an attempt to kill it. Going further, supporters of the bipartisan bill claimed the DOJ's motions were precisely why the bill should become law, implying it would guard offshore wind farms against this sort of maneuver.
  • However, for the bill’s backers, it’s worth considering why the Trump administration believes it has the legal authority to do this. It’s also time to ask whether the bill would actually protect these wind farms against this tactic.
  • To answer those questions, you have to rewind. On May 1, 2025, the Interior Department withdrew a Biden solicitor’s opinion instructing the agency to “strike a rational balance” between wind power and fishing interests. This revocation document is technically not in effect at the moment; one year later, a federal court ruled the opinion was potentially illegal as a part of a preliminary injunction on five anti-renewables actions requested by solar and wind trade groups. The Trump administration is contesting that ruling, and the administration has filed a notice of appeal.
  • In August, despite that opinion being in doubt, a federal judge granted Trump permission under the Outer Continental Shelf Lands Act to remand the construction and operations plan for the now-defunct Atlantic Shores offshore wind farm in the waters of New Jersey. U.S. District Judge Jia Cobb specifically wrote that Atlantic Shores failed to demonstrate the federal government had limitations under OSCLA on revisiting these plans and that the injunction from the litigation on appeal “did not prohibit all reevaluation of agency action.”
  • In the recent Revolution and MarWin filings, Trump’s Justice Department argues the construction and operations plans should be remanded under OSCLA without being vacated. The DOJ motions include claims that previous decision documents did not adequately explain impacts to commercial fishing and other industries that use OSCLA waters. It’s not clear if the administration will win these motions.
  • The bipartisan permitting bill would bar the Interior Department and other federal agencies from taking “any new action that would revoke, rescind, withdraw, terminate, suspend, amend, or alter a federal authorization or permit in effect on or after September 16, 2026,” or “any other action to interfere with or prevent the construction or operation at full capacity of a project that has secured all necessary federal authorizations and permits.” The restriction exempts cases where “the agency is required to take such action by order of a court.” As I wrote in our lengthy piece explaining the bill, this provision has a damages component that allows companies impacted by violations to pursue financial compensation.
  • Here’s the billion-dollar question I expect we won’t have answered unless the bill language is enacted and then litigated: Would the court order exception apply to rulings that grant these motions? Or would the developers be able to sue for damages?

2. Columbia County, N.Y. – New York’s renewable energy permitting office has rejected an upstate solar farm on farmland as a House Democrat representing the area joined hands with the Trump administration in publicly railing against the project.

Keep reading...Show less
Yellow