California has passed SB 254, a comprehensive energy bill aimed at reforming utility regulation and advancing clean energy infrastructure. The legislation seeks to reduce electricity costs, improve wildfire safety, and accelerate the state's clean energy transition.

Key provisions include the creation of a Transmission Infrastructure Accelerator within the Governor's Office of Business and Economic Development (Go-Biz) to coordinate and finance electric transmission projects. The bill also authorizes state ownership and development of transmission facilities and introduces a 20% tax credit on qualifying transmission expenditures from 2026 to 2036.

The law extends the California Energy Commission's streamlined clean energy siting process to 2030 and enhances wildfire mitigation oversight by revising utility plans and adding cost-recovery safeguards. It expands California's wildfire fund with an $18 billion infusion, including bonds and extended ratepayer charges through 2045.

In addition, SB 254 strengthens the California Public Utilities Commission's (CPUC) oversight by requiring annual reports on utility assets and establishing penalties and incentives related to infrastructure energization.

The bill's urgency clause ensures immediate effect to stabilize utilities, protect consumers from rate increases, and support reliable clean energy development.