E2 policy priorities approved and signed into law
Despite continued headwinds from Washington, D.C., the nation’s most populous state proved once again during its just-completed legislative session that states can continue to lead the country toward a cleaner economy and a better environment.
California’s leadership is important and significant. If the Golden State were a country, its economy would rank fourth in the world. Over the last 20 years, California’s leadership on climate and clean energy have created a 520,000-employee clean energy industry, helping to reduce climate emissions by 20 percent while growing the State’s economy by 80 percent.
E2 in Sacramento
Across three California chapters, E2 represents thousands of business leaders from across the economy — from clean energy to insurance to finance. E2 and our California members were deeply involved in advocacy this year, beginning with early session lawmaker education underlining the economic engine that is the clean energy economy to testifying before the California Air Resources Board in support of Cap-and-Trade extension (now Cap-and-Invest), to meeting with lawmakers in Sacramento.
E2’s priority bills
Six E2-backed priorities were signed into law. These bills represented issues spanning data center regulation and grid modernization, home appliance upgrades, electric truck price transparency, and protecting California coastlines from oil and gas leasing.
- DATA CENTERS: We engaged deeply on data center policy, focusing on a package of bills, notably AB 2383 (Zbur) and SB 886 (Padilla). These critical bills require data centers to cover the full costs of their transmission-level electric service and procure additional generation capacity while meeting clean energy standards. We also advocated in support of SB 887 (Padilla), which strengthens environmental review requirements and creates an expedited pathway for qualifying zero-carbon, grid-beneficial projects. See here for a press release from Gov. Newsom highlighting E2.
- ENERGY TRANSITION, HOME ELECTRIFICATION: AB 2313 (Berman) creates a voluntary program allowing homeowners to opt out of gas pipeline replacements and instead redirect those funds toward modernizing their home with clean, efficient electric appliances.
- STOPPING OFFSHORE OIL DRILLING: AB 1448 (Hart) strengthens protections against new offshore oil and gas drilling while enhancing safeguards for California’s coastline. This complements E2’s federal advocacy against proposed expanded offshore drilling leasing.
- BETTER TRUCK INDUSTRY DISCLOSURES: SB 1213 (Reyes) brings greater price transparency to California’s medium- and heavy-duty electric truck market ensuring state taxpayer rebates actually lower the cost for commercial fleet buyers rather than being absorbed by markups.
Looking ahead
While we continue to defend bedrock clean energy and climate policies at the federal level, we clearly continue to make progress at the state level, thanks to the support and engagement of our members.
And it’s not just in California. In 2026, E2 organized a record number of advocacy days in across the country – including Colorado, Illinois, North Carolina, Georgia and New York — bringing business leaders directly to state capitols to help shape clean energy and climate policies. Notably, 2026 marked E2’s inaugural state advocacy day in Georgia, an importance expansion of our presence in the state.
With new legislatures convening in the new year, look for opportunities to help us advance in the future. Contact Andy Wunder, E2’s Senior Western Advocate, to learn more.
Blog image by John Feng.