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Released May 23, 2023 | SUGAR LAND
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Written by John Egan for Industrial Info Resources (Sugar Land, Texas)--California's Democratic Governor Gavin Newsom unveiled plans on Friday to expedite construction of renewable energy projects, both onshore and offshore; battery energy storage projects; water projects, including desalination projects; electric transmission lines; semiconductor fabrication plants, and other long-delayed infrastructure projects.
His efforts, unveiled from NextEra Energy Incorporated's (NYSE:NEE) (Juno Beach, Florida) Proxima solar and battery energy storage project under construction in Stanislaus County, were embraced by legislative leaders and enthusiastically endorsed by organized labor groups. Newsom's plans were contained in an executive order and 11 proposed bills he wants to attach to the state budget, which must pass by mid-June.
The California governor chose that approach rather than trying to tackle head-on reforming the California Environmental Quality Act (CEQA), the 1970 law widely credited by environmental advocates for protecting endangered species and beautiful vistas, but sharply criticized by others for ensnaring industrial projects in red tape.
In his announcement May 19, Newsom acknowledged he was trying to take advantage of exceptions to CEQA that allowed giant sports stadiums like SoFi Stadium, home of the Los Angeles Rams and Los Angeles Chargers professional football teams, to be built quickly.
"I love sports," Newsom said in remarks delivered May 19. "But I also love roads. I love transit. I love bridges. And I love clean energy projects like the one we're seeing here. It's not just about stadiums. And we've proven we can get it done for stadiums. So why the hell can't we translate that to all these other projects?"
The state is in line for an estimated $180 billion in funding over the next decade to build infrastructure projects that would help California attain its climate-change goals. A lot of those funds are expected to come from the federal Infrastructure Investment and Jobs Act and the Inflation Reduction Act. But Republicans in the U.S. House of Representatives want to scale back that spending in their current debt ceiling standoff with President Joe Biden.
Last Friday's announcement follows by one day the release of a report urging infrastructure permitting reform. The report came from Newsom's infrastructure advisor, former Los Angeles Mayor Antonio Villaraigosa, and California Forward, a business-friendly non-profit group. Taken together, the governor's office said these proposals could:
Other elements of Newsom's package would ease contracting barriers that state agencies run into when starting and finishing their projects.
The governor's executive order created a "strike team" to accelerate clean infrastructure projects across the state by implementing an all-of-government strategy for planning and development.
One of the legislative proposals attached to the state budget would limit to nine months any lawsuit against certain water, transportation, clean energy, semiconductor and microelectronics projects. The proposals also would limit the scope of documents subject to discovery during legal proceedings.
"Things are taking 33 months (to build) that we know only have to take 11 months," Newsom said May 19. "We actually want to get it down, ultimately, to six months."
"The only way to achieve California's world-leading climate goals is to build, build, build--faster," he continued, adding his proposals were "the most ambitious effort to cut red tape and streamline regulations in half a century. It's time to make the most out of taxpayer dollars and deliver results while creating hundreds of thousands of good jobs."
In remarks to reporters, Newsom added: "It's about saving time and saving money and addressing bureaucratic malaise. We can't just keep saying no."
Laura Deehan, state director for Environment California, appeared alongside Newsom at the news conference. According to a report in The Los Angeles Times, she said, "We agree that we're going to need some large scale solar. We're going to need some offshore wind. The current rate is too slow and we need to figure out how to speed it up."
But she said she had not yet read Newsom's proposed 11 legislative bills and urged caution: "We don't want to change 50 years of environmental protection law overnight and live to regret it."
However, longtime opponents of a plan to build two huge tunnels that go around the Sacramento-San Joaquin River Delta to bring water from Northern California to Southern California, which would be included in Newsom's plan, blasted Newsom's plan.
"Governor Newsom does not respect the people in communities that need environmental protection," said Barbara Barrigan-Parrilla, executive director of advocacy group Restore the Delta. "We have never been more disappointed in a California governor than we are with Governor Newsom. We have repeatedly given him the benefit of the doubt."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
His efforts, unveiled from NextEra Energy Incorporated's (NYSE:NEE) (Juno Beach, Florida) Proxima solar and battery energy storage project under construction in Stanislaus County, were embraced by legislative leaders and enthusiastically endorsed by organized labor groups. Newsom's plans were contained in an executive order and 11 proposed bills he wants to attach to the state budget, which must pass by mid-June.
The California governor chose that approach rather than trying to tackle head-on reforming the California Environmental Quality Act (CEQA), the 1970 law widely credited by environmental advocates for protecting endangered species and beautiful vistas, but sharply criticized by others for ensnaring industrial projects in red tape.
In his announcement May 19, Newsom acknowledged he was trying to take advantage of exceptions to CEQA that allowed giant sports stadiums like SoFi Stadium, home of the Los Angeles Rams and Los Angeles Chargers professional football teams, to be built quickly.
"I love sports," Newsom said in remarks delivered May 19. "But I also love roads. I love transit. I love bridges. And I love clean energy projects like the one we're seeing here. It's not just about stadiums. And we've proven we can get it done for stadiums. So why the hell can't we translate that to all these other projects?"
The state is in line for an estimated $180 billion in funding over the next decade to build infrastructure projects that would help California attain its climate-change goals. A lot of those funds are expected to come from the federal Infrastructure Investment and Jobs Act and the Inflation Reduction Act. But Republicans in the U.S. House of Representatives want to scale back that spending in their current debt ceiling standoff with President Joe Biden.
Last Friday's announcement follows by one day the release of a report urging infrastructure permitting reform. The report came from Newsom's infrastructure advisor, former Los Angeles Mayor Antonio Villaraigosa, and California Forward, a business-friendly non-profit group. Taken together, the governor's office said these proposals could:
- Cut project timelines by more than three years
- Save businesses and state and local governments hundreds of millions of dollars
- Reduce paperwork by hundreds of thousands of pages
Other elements of Newsom's package would ease contracting barriers that state agencies run into when starting and finishing their projects.
The governor's executive order created a "strike team" to accelerate clean infrastructure projects across the state by implementing an all-of-government strategy for planning and development.
One of the legislative proposals attached to the state budget would limit to nine months any lawsuit against certain water, transportation, clean energy, semiconductor and microelectronics projects. The proposals also would limit the scope of documents subject to discovery during legal proceedings.
"Things are taking 33 months (to build) that we know only have to take 11 months," Newsom said May 19. "We actually want to get it down, ultimately, to six months."
"The only way to achieve California's world-leading climate goals is to build, build, build--faster," he continued, adding his proposals were "the most ambitious effort to cut red tape and streamline regulations in half a century. It's time to make the most out of taxpayer dollars and deliver results while creating hundreds of thousands of good jobs."
In remarks to reporters, Newsom added: "It's about saving time and saving money and addressing bureaucratic malaise. We can't just keep saying no."
Laura Deehan, state director for Environment California, appeared alongside Newsom at the news conference. According to a report in The Los Angeles Times, she said, "We agree that we're going to need some large scale solar. We're going to need some offshore wind. The current rate is too slow and we need to figure out how to speed it up."
But she said she had not yet read Newsom's proposed 11 legislative bills and urged caution: "We don't want to change 50 years of environmental protection law overnight and live to regret it."
However, longtime opponents of a plan to build two huge tunnels that go around the Sacramento-San Joaquin River Delta to bring water from Northern California to Southern California, which would be included in Newsom's plan, blasted Newsom's plan.
"Governor Newsom does not respect the people in communities that need environmental protection," said Barbara Barrigan-Parrilla, executive director of advocacy group Restore the Delta. "We have never been more disappointed in a California governor than we are with Governor Newsom. We have repeatedly given him the benefit of the doubt."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
