SB-787 • 2026

Energy: equitable clean energy supply chains and industrial policy in California.

Budget Energy Technology

Vetoed

The latest official action shows the governor vetoed this bill. Check the bill history to see whether lawmakers later overrode that veto.

Sponsor: McNerney
Last action: 2026-03-02
Official status: Veto sustained.
Effective date: Not listed

Plain English Breakdown

The bill was vetoed by the governor and the veto has been sustained. It is unclear if there will be any further action on this bill.

Energy: Equitable Clean Energy Supply Chains and Industrial Policy

This law requires state agencies to collaborate on clean energy supply chains and industrial policy by creating a Senior Counselor position, signing memorandums of understanding, organizing working groups, preparing annual reports, and establishing a fund.

What This Bill Does

Requires the State Energy Resources Conservation and Development Commission (Energy Commission) to designate or hire a person as the Senior Counselor on Industrial Policy and Clean Energy Development by March 1, 2027.
Requires several state agencies to enter into a memorandum of understanding about equitable clean energy supply chains and industrial policy by March 1, 2027.
Asks the Senior Counselor to convene working groups focusing on specific issues related to clean energy.
Requires the Senior Counselor to prepare an annual report summarizing findings and recommendations from the work done under the memorandum of understanding.
Establishes a fund in the State Treasury for activities related to equitable clean energy supply chains and industrial policy.

Who It Names or Affects

The Energy Commission
Governor’s Office of Business and Economic Development
Labor and Workforce Development Agency
Public Utilities Commission, Department of General Services, and the office of the Treasurer

Terms To Know

Equitable Clean Energy Supply Chain: A system that ensures clean energy resources are produced and distributed fairly across different communities.
Industrial Policy: Government strategies to influence the structure of an economy, often focusing on specific industries like manufacturing or technology.

Limits and Unknowns

The bill was vetoed by the governor and the veto has been sustained.
It is unclear how much funding will be available for the Equitable Clean Energy Supply Chain and Industrial Policy Fund.
The effectiveness of the working groups and annual reports in achieving clean energy goals remains to be seen.

Bill History

2026-03-02 California Legislative Information
Veto sustained.
2026-03-02 California Legislative Information
Stricken from file.
2025-10-13 California Legislative Information
In Senate. Consideration of Governor's veto pending.
2025-10-13 California Legislative Information
Vetoed by the Governor.
2025-09-23 California Legislative Information
Enrolled and presented to the Governor at 2 p.m.
2025-09-13 California Legislative Information
Assembly amendments concurred in. (Ayes 29. Noes 8. Page 3028.) Ordered to engrossing and enrolling.
2025-09-12 California Legislative Information
In Senate. Concurrence in Assembly amendments pending.
2025-09-12 California Legislative Information
Read third time. Passed. (Ayes 64. Noes 10. Page 3405.) Ordered to the Senate.
2025-09-05 California Legislative Information
Ordered to third reading.
2025-09-05 California Legislative Information
Read third time and amended.
2025-09-05 California Legislative Information
Assembly Rule 69(b)(1) suspended.
2025-09-03 California Legislative Information
Read second time. Ordered to third reading.
2025-09-02 California Legislative Information
Read second time and amended. Ordered to second reading.
2025-08-29 California Legislative Information
From committee: Do pass as amended. (Ayes 11. Noes 3.) (August 29).
2025-08-20 California Legislative Information
August 20 set for first hearing. Placed on APPR. suspense file.
2025-07-15 California Legislative Information
From committee: Do pass and re-refer to Com. on APPR. (Ayes 14. Noes 1.) (July 14). Re-referred to Com. on APPR.
2025-07-15 California Legislative Information
Coauthors revised.
2025-07-10 California Legislative Information
From committee: Do pass and re-refer to Com. on TRANS. (Ayes 15. Noes 1.) (July 9). Re-referred to Com. on TRANS.
2025-07-10 California Legislative Information
Coauthors revised.
2025-06-26 California Legislative Information
From committee with author's amendments. Read second time and amended. Re-referred to Com. on U. & E.
2025-06-16 California Legislative Information
Referred to Coms. on U. & E. and TRANS.
2025-06-03 California Legislative Information
In Assembly. Read first time. Held at Desk.
2025-06-02 California Legislative Information
Read third time. Passed. (Ayes 28. Noes 10. Page 1397.) Ordered to the Assembly.
2025-05-23 California Legislative Information
Read second time. Ordered to third reading.
2025-05-23 California Legislative Information
From committee: Do pass. (Ayes 5. Noes 1. Page 1213.) (May 23).
2025-05-16 California Legislative Information
Set for hearing May 23.
2025-05-12 California Legislative Information
May 12 hearing: Placed on APPR. suspense file.
2025-05-02 California Legislative Information
Set for hearing May 12.
2025-04-28 California Legislative Information
Read second time and amended. Re-referred to Com. on APPR.
2025-04-24 California Legislative Information
From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 14. Noes 2. Page 811.) (April 21).
2025-04-10 California Legislative Information
Set for hearing April 21.
2025-04-08 California Legislative Information
From committee with author's amendments. Read second time and amended. Re-referred to Com. on E., U & C.
2025-03-12 California Legislative Information
Referred to Com. on E., U & C.
2025-02-24 California Legislative Information
Read first time.
2025-02-24 California Legislative Information
From printer. May be acted upon on or after March 24.
2025-02-21 California Legislative Information
Introduced. To Com. on RLS. for assignment. To print.

Official Summary Text

SB 787, McNerney.
Energy: equitable clean energy supply chains and industrial policy in California.
Existing law requires the State Energy Resources Conservation and Development Commission (Energy Commission) to adopt, on a biennial basis, an integrated energy policy report that contains an overview of major energy trends and issues facing the state, including supply, demand, pricing, reliability, efficiency, and impacts on public health and safety, the economy, resources, and the environment. Existing law requires that the report present policy recommendations based on an in-depth and integrated analysis of the most current and pressing energy issues facing the state.
This bill would require the Energy Commission, on or before March 1, 2027, to
designate a person within the Energy Commission or identify and retain an external candidate to serve as the Senior Counselor on Industrial Policy and Clean Energy Development, and would require the senior counselor to, among other things, convene working groups that focus on certain issues, as provided. The bill would require the Energy Commission, the Governor’s Office of Business and Economic Development, the Labor and Workforce Development Agency, the Public Utilities Commission, the Department of General Services, and the office of the Treasurer, on or before March 1,
2027, to enter into a memorandum of understanding on equitable clean energy supply chains and industrial policy in California with specified goals and provisions, as provided. The bill would require the senior counselor to track and coordinate the work under the memorandum of understanding and to prepare an annual report summarizing the key findings and recommendations resulting from that work. The bill would require that the report be presented at a public meeting of the Energy Commission and be published on the Energy Commission’s internet website. The bill would establish in the State Treasury the Equitable Clean Energy Supply Chain and Industrial Policy Fund and would, upon appropriation by the Legislature, authorize the moneys in the fund to be expended for purposes of the bill.

Current Bill Text

Read the full stored bill text

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