Businesses Oppose Federal Plan to Expand Offshore Drilling Along California Coast

Orange County leaders warn new drilling threatens local economy and environment

Published on Mar. 5, 2026

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The federal government is moving forward with a plan to open up all federal waters off the California coast to new offshore oil and gas drilling, despite overwhelming public opposition. Local business leaders and elected officials in Orange County warn that new drilling poses a serious threat to the region's thriving coastal economy, which relies heavily on tourism, recreation, and a healthy environment.

Why it matters

The 2021 Huntington Beach oil spill devastated local businesses and coastal communities, serving as a stark reminder of the economic risks of offshore drilling. California's coastal counties generate around 80% of the state's GDP, with coastal recreation and tourism supporting over 441,000 jobs. Businesses fear a repeat of the economic fallout from the 2021 spill if new drilling is allowed.

The details

In November 2025, the U.S. Department of Interior proposed the first West Coast offshore oil and gas lease sales in over 40 years, drawing more than 300,000 public comments in opposition. Despite this, the agency announced in January 2026 that it would move forward with identifying specific areas for development along the entire California coast. Local leaders, including Republican Assemblywoman Laurie Davies, have strongly condemned the federal plan, joining a bipartisan resolution against new offshore drilling.

  • In November 2025, the U.S. Department of Interior proposed the first West Coast offshore oil and gas lease sales in over 40 years.
  • In January 2026, the federal agency announced it would move forward with identifying areas for new offshore drilling development along the California coast.

The players

Grant Bixby

Principal Broker of Bixby Residential Group in Newport Beach and a Founding Member of the Business Alliance for Protecting the Pacific Coast.

Laurie Davies

Republican Assemblywoman from Laguna Niguel who has officially opposed the federal drilling proposal.

Business Alliance for Protecting the Pacific Coast (BAPPC)

A group representing over 8,175 West Coast companies that oppose new offshore drilling due to the risks to the local economy and environment.

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What they’re saying

“We need to speak louder, and the business community is ready to do so.”

— Grant Bixby, Principal Broker (voiceofoc.org)

“The federal plan puts this all at risk. The 2010 Deepwater Horizon oil spill stained more than 1300 miles of the Gulf Coast, greater than the full length of the California coastline, and shuttered coastal businesses for months and even years. Why should we sacrifice our diverse, vibrant coastal economy for one risky special interest?”

— Grant Bixby, Principal Broker (voiceofoc.org)

What’s next

The Business Alliance for Protecting the Pacific Coast (BAPPC) is making its case to the federal government that the proposed offshore drilling plan is inconsistent with the economic prosperity of California's coastal communities.

The takeaway

The federal government's plan to expand offshore drilling along the California coast faces strong opposition from local businesses and elected officials who warn it threatens the thriving coastal economies that rely on tourism, recreation, and a healthy environment.