Governor Signs AB 2111

SACRAMENTO, CA — Governor Gavin Newsom has signed Assembly Bill 2111 authored by Assemblymember Diane Papan (D-San Mateo), legislation requiring prudent investments today that can protect consumers from greater costs in the future. AB 2111 is about efficient planning for a dynamic grid.

“When transmission planning falls behind demand or fails to anticipate regional growth, the consequences can include delayed clean energy projects, expensive network upgrades, and higher electricity costs for ratepayers,” said Papan. “This bill mandates a holistic approach to transmission planning.”

California’s transmission planning process is designed around a single projected electricity demand forecast. This approach works well when the forecast is reasonably accurate. However, when the forecast is wrong, there are significant consequences. Recently, underdevelopment of the grid has prevented new renewable energy projects from accessing necessary interconnections to the grid and required costly network upgrades. When fewer energy providers can access the grid, consumers will not benefit from increased competition.

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