News Summary

In 2023, California reached a significant milestone with clean energy sources making up 67% of its retail electricity supply. This increase from 61% in 2022 reflects the state’s commitment to a sustainable energy future. California aims for 100% renewable and carbon-free electricity by 2045, despite facing challenges such as high electricity costs and the need for improved battery storage. As the fourth-largest economy powered by clean energy, California continues to showcase achievements while addressing infrastructural and financial hurdles in the energy sector.

California Achieves 67% Clean Energy Milestone in 2023

California has set a new record in 2023, with clean energy sources accounting for 67% of its retail electricity supply, as reported by the California Energy Commission. This increase from 61% in 2022 and a surpassing of the earlier record of 64% set in 2019 demonstrates the state’s commitment to achieving a sustainable energy future.

The state’s clean energy portfolio includes a diverse range of sources: solar, wind, geothermal, large hydropower, biomass, and nuclear energy. These sources have contributed significantly to the state’s ambitious goal of reaching 100% renewable and carbon-free electricity by 2045, as outlined in a state law enacted in 2018 under former Governor Jerry Brown.

Recognition of Achievements

David Hochschild, the chairman of the California Energy Commission, characterized the achievement of reaching two-thirds clean energy as remarkable, noting that such a figure was once viewed as unrealistic. Governor Gavin Newsom has echoed this sentiment, acknowledging California’s status as the world’s fourth-largest economy to operate on such a high percentage of clean power.

Electricity Costs and Public Support

Despite the advancements in clean energy, California residents face some of the highest electricity costs in the nation, with an average retail price of 31.77 cents per kilowatt-hour as of April 2023, nearly double that of the national average at 17.45 cents. Political critics have pointed to these soaring costs as a significant issue, even as clean energy initiatives remain popular among voters—66% of whom support the law mandating 100% clean energy by 2045.

Contributing factors to the high electricity prices include measures aimed at reducing wildfire risks and the financial burden related to necessary upgrades to utility infrastructure. Furthermore, the surge in demand for electricity, driven by the growing adoption of electric vehicles—which accounted for 25% of new car sales—places additional pressure on state resources.

Growth of Battery Storage

In response to the challenges associated with renewable energy, California has seen a substantial increase in battery storage capacities, growing from 1,474 megawatts in 2020 to 15,763 megawatts in 2023. This expansion aims to address the intermittency problems associated with renewable energy sources, but concerns have emerged over the safety of battery technology following a significant fire incident at a facility in Moss Landing. This has led to community opposition towards new battery storage projects.

Federal Pushback and Future Outlook

While California continues its push for clean energy, federal legislative changes have raised alarms within the industry. Recent cuts to tax incentives for solar, wind, electric vehicles, and other clean technologies may inhibit investment and hinder potential job growth within the state’s clean energy sector. California’s goal requires a projected need for 52,000 megawatts of battery storage by 2045 to satisfy increasing electricity demands and support its clean energy objectives.

As California navigates these challenges, the state’s success in clean energy development stands as a significant achievement, illustrating a commitment to sustainability while grappling with financial and infrastructural hurdles.

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Author: HERE Huntington Beach

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