California Utilizes Foreign Oil Ships Amid Gas Supply Challenges
The Trump administration has authorized the use of foreign-registered oil ships to transport oil between U.S. ports, a practice not used for over a century, to address California's gas supply issues. This decision circumvents the 1920 Jones Act, which typically restricts such activities to U.S.-flagged vessels. The waiver, effective until May 17, allows California to receive large quantities of oil that cannot be supplied by in-state pipelines. This move comes as California faces high gas prices and limited supply, partly due to Governor Gavin Newsom's opposition to new pipeline projects over environmental concerns. The administration is considering extending the waiver, citing increased supply and potential cost reductions.