Here’s what cities need to know about the state’s proposed regulations for clean energy project permitting

The League of California Cities recently submitted comments on a set of emergency regulations that would streamline clean energy project permitting. The proposed changes would allow the California Energy Commission to approve certain clean energy projects instead of local governments.

The regulations are the result of a rushed budget trailer bill, AB 205 (Committee on Budget), which was introduced and passed by the Legislature in the summer as part of the 2022 Budget Act. Cal Cities and other local government associations had just a few days to analyze and respond to the bill before it was passed.

Cal Cities and its coalition partners opposed AB 205. The group is now working to ensure that the commission partners with local governments as they implement this new, optional permitting system.

What would these regulations do?

The proposed regulations would allow the commission, under the purview of a Strategic Energy Reserve, to delegate to the California Department of Water Resources blanket authority to bypass local permitting for siting of solar, wind, and certain battery backup projects.  

However, AB 205 prohibits the commission from certifying a site and related facility unless it finds that the construction or operation of the facility will have an “overall net positive economic benefit to the local government that would have had permitting authority over the site and related facility.”

In its letter, Cal Cities made a series of technical suggestions that would help ensure the commission receives unbiased information when determining the “overall net positive economic benefit” of a project. The letter also proposed an amendment that would ensure local governments can fully participate in any pre-filing consultation meetings

The proposed regulations are now headed to the Office of Administrative Law, which will issue a decision by Oct. 24. For more information, please contact Legislative Affairs Lobbyist Derek Dolfie.