California Assembly Bill AB1016

California 2025-2026 Regular Session

• Introduced: 2/20/25
• Refer: 3/24/25
• Report Pass: 3/25/25
• Refer: 3/26/25
• Report Pass: 4/24/25
• Refer: 4/24/25
• Refer: 4/28/25
• Report Pass: 5/5/25
• Refer: 5/7/25
• Report Pass: 5/14/25
• Engrossed: 5/23/25
• Refer: 5/23/25
• Refer: 6/4/25
• Report Pass: 6/19/25
• Refer: 6/19/25

Caption

An act to amend Section 25519 of, to add Section 25541.3 to, and to add and repeal Section 25541.2 of, the Public Resources Code, relating to energy.

Impact

The impact of AB 1016 primarily lies in its potential to streamline the approval process for geothermal power plants while upholding certain environmental protections. The bill allows local agencies to take the lead in permitting and environmental review for projects that fit within the stipulated guidelines. This change could encourage more geothermal energy projects, which are seen as an important component of California's energy strategy and environmental goals. However, this exemption also raises concerns regarding thorough environmental scrutiny, as projects could proceed with less stringent state oversight.

Summary

Assembly Bill 1016, introduced by Assembly Member Jeff Gonzalez, focuses on the certification of thermal powerplants, specifically those utilizing geothermal resources. It seeks to amend existing laws to allow the California Energy Resources Conservation and Development Commission to exempt certain geothermal powerplants from certification requirements until January 1, 2030. The bill targets powerplants with a net generating capacity of 50 to 150 megawatts and establishes that local agencies will be the lead for environmental review as per the California Environmental Quality Act (CEQA), provided specified criteria are met.

Sentiment

Overall sentiment around AB 1016 appears to be mixed. Supporters view the bill as a step forward in promoting renewable energy sources like geothermal energy, which may contribute to California's climate targets. They argue that easing certification processes will foster investment and development in renewable energy sectors. Conversely, critics express concern that the relaxed regulations could lead to insufficient environmental oversight, potentially allowing harmful developments that do not adequately protect public health or local ecosystems.

Contention

Key points of contention regarding AB 1016 center on the balance between promoting renewable energy development and ensuring adequate environmental regulatory oversight. Proponents believe the bill is essential for encouraging investment and development in geothermal energy, which is often viewed as underutilized. Opponents fear that allowing exemptions from certification could undermine environmental protections and lead to adverse impacts that may not have been thoroughly assessed or mitigated.