An oil field became California’s first carbon vault. Who’s responsible if something goes wrong?

Nearly four years ago, California lawmakers mandated state regulators to prepare for a novel industry aimed at combating climate change: permanently storing carbon dioxide underground. The legislation mandated rules for how companies would monitor the stored carbon and respond in case of failure, setting a January 2025 deadline to establish protocols for cleanup costs and permit coordination across agencies. Despite this, California has yet to adopt its carbon storage rules, more than 19 months after the deadline.

California Resources Corp., the state's largest oil producer, initiated carbon injections at Elk Hills, a historic oil field dating back a century in rural Kern County. This project marks a significant milestone as the U.S. Environmental Protection Agency (EPA) has found no comparable initiative in the United States. However, without California's own regulations, the state cannot impose stricter standards on companies such as CRC or ensure that the stored carbon remains safely contained.

The absence of specific guidelines raises critical questions about accountability and oversight should any issues arise. Michelle Ghafar, an attorney with Earthjustice representing groups opposing the project, emphasized the gap in responsibility: "If something does go wrong, there are a lot of really important questions about who would actually address those concerns and impacts." Historical patterns suggest that oil companies may not always bear the responsibility for remedying their environmental mistakes.

California's leadership, including Governor Gavin Newsom and State Senator Anna Caballero, has been enthusiastic about the Elk Hills project, describing it as a testament to the state's innovative spirit. However, the lack of established rules creates uncertainty and potential risks, highlighting the need for comprehensive regulations to safeguard the environment and ensure accountability.