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Los Angeles climate group launches ads accusing Newsom of diverting climate funds

The advocacy group Streets For All has placed newspaper ads in South Carolina and Nevada criticizing Governor Gavin Newsom for changes to California's cap-and-invest program that they say favor oil companies.

Streets For All, a Los Angeles advocacy group focused on expanding public transportation and cutting oil reliance, has launched a set of newspaper ads in early-primary states Columbia, South Carolina, and Reno, Nevada. The advertisements accuse Governor Gavin Newsom of supporting revisions to the California Air Resources Board's cap-and-invest program that would allocate billions of dollars away from clean-drinking water, public transit and affordable housing toward subsidies for refineries and industrial polluters.

Critics within the environmental community claim the changes could reduce the cap-and-trade fund by $2 billion, labeling the move a “giveaway” to Big Oil. CARB has defended the proposal as a necessary compromise to meet climate targets while preventing major industries from leaving the state. The ads, framed as letters from “struggling Californians,” highlight growing friction between Newsom and the left wing of his party, a dynamic that could influence his potential bid for the 2028 Democratic presidential nomination. The California Post sought comment from Newsom’s office but received none.

Why it matters

The ads reveal intra-party conflict over climate funding that could shape the governor's national ambitions.

In this story

cap-and-investclimate fundingoil subsidiespublic transitenvironmental groupsDemocratic primaryCaliforniaGavin Newsom