On November 17, 2008, California Governor Arnold Schwarzenegger signed Executive Order S-14-08 (EO S-14-08) to expedite the approval process for renewable energy projects and increase California’s renewable portfolio standards (RPS) to 33% by 2020. 

As previously raised by ClimateIntel, current inefficiencies and red tape in the permitting process have been holding up progress towards meeting California’s existing 20% by 2010 RPS goal.  Thus, the effectiveness of the RPS procurement process has been tempered by the slow pace of actual renewable development coming online.  The Governor’s EO S-14-08 directly addresses this problem through the following:

• Streamlining the application process for renewable energy development by creating a “one-stop” process for concurrent review of permit applications by the California Energy Commission (CEC) and the Department of Fish and Game (DFG).  On November 17, the CEC and DFG signed a Memorandum of Understanding (MOU) to create a joint Renewable Energy Action Team (REAT) that will concurrently review permit applications filed at the state level.  This streamlined process is expected to halve the application time for specific projects.  Beyond this, the CEC and DFG entered into a further MOU with the U.S. Fish and Wildlife Service and the U.S. Bureau of Land Management to include the federal partner agencies in the expedited permitting process for projects on federally-owned California land. 
• Initiating the Desert Renewable Energy Conservation Plan in the priority Mojave and Colorado Desert Regions.  Under this Plan, the REAT will, among other things, collaborate with federal partners and stakeholder groups to identify and map pre-approved areas for streamlined RPS project permitting and environmental review.  The REAT will also develop a Best Management Practices manual to assist applicants in designing projects to emphasize siting considerations and minimize environmental impacts.  The Plan is expected to reduce both the time and uncertainty normally associated with renewable project development.  
• Further accelerating and raising California’s RPS Goal from 20% by 2010 to 33% by 2020.  The Governor will be unveiling proposed companion legislation to codify this higher RPS standard and require all utilities, public and private, to meet the 33% target.  The legislation will also reform the renewable energy market structure to spur new development while providing consumer safeguards.

About half of the states in the U.S. have renewable energy mandates, but California’s 33% by 2020 will be the most aggressive.  With California again pushing the envelope, hopefully, the Obama Administration will be next to push for a strong federal renewable portfolio standard.

For further information about this topic, please contact Akin Gump.