The Nickel Report

On July 14, 2026, a federal court issued a preliminary injunction enjoining California Attorney General Rob Bonta and “all those in privity or acting in concert with” him from enforcing California’s Truth in Recycling Law, SB 343. While this decision is favorable for the plaintiff organizations and their members, it raises additional questions for non-plaintiff companies attempting to navigate these novel and complex environmental compliance requirements.

The California Air Resources Board (CARB) held a public workshop on July 21, 2026, to preview regulatory concepts for a forthcoming proposed rule to implement the California Corporate Greenhouse Gas Reporting Program (SB 253) requirements beginning in 2027. CARB did not specify a timeframe for release of the proposed rule, which will be subject to a 45-day public-comment period.

On July 16, Senator Martin Heinrich (D-NM), Ranking Democrat on the Senate Energy and Natural Resources Committee, introduced legislation to provide for a streamlined, time-limited electric generation interconnection review process for generation projects that agree to limit their output to a level that will not require grid upgrades. This approach is modeled on the “connect and manage” framework used by the Electric Reliability Council of Texas (ERCOT) region.

On July 14, 2026, the US Fish and Wildlife Service and the National Marine Fisheries Service (together, Services) issued a final rule rescinding the regulatory definition of “harm” under the Endangered Species Act (ESA) and thereby shifting its interpretation of the ESA’s “take” prohibition to no longer extend to habitat modification. This rule marks the administration’s latest protected species-related deregulatory action and will become effective 60 days after publication, on September 14, 2026. The final rule is highly controversial and has already drawn legal challenges in three different suits.

The Northern District of California vacated portions of four provisions in the Endangered Species Act Section 7 consultation regulations, reinstating earlier regulatory text governing effects of the action, mitigation measures, adverse modification, and the Service’s duty to request reinitiation. 

Starting in June 2027, California’s “compostable” labeling standard will prohibit certain products from being labeled as “compostable,” even if they are ASTM-certified. This is particularly important considering California’s Extended Producer Responsibility (EPR) law, which will require covered products to be either recyclable or compostable by 2032. Regulated entities should understand the contours of California’s “compostable” standard and begin developing internal mechanisms to ensure compliance and avoid unexpected production pauses or enforcement actions.

On July 1, 2026, the US Department of Transportation issued a notice of proposed rulemaking to revamp its rules related to air fare advertising. Specifically, DOT proposes to amend its rules to allow air fare components to be displayed with the same prominence as the total air fare price; eliminate prescriptive advertising regulation stating that components or a fare may not be presented in the same or larger size as the total price; and rescind nine air fare price advertising guidance documents. DOT is accepting comment until July 31, 2026.