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    AB-740
    Energy & Environment

    Virtual power plants: load shifting: integrated energy policy report.

    Engrossed
    CA
    ∙
    2025-2026 Regular Session
    1
    0
    Track
    Track

    Key Takeaways

    • Requires the Energy Commission to adopt a virtual power plant deployment plan by November 2026.
    • Mandates electrical companies to report annually on their progress toward load-shifting goals.
    • Establishes requirements for smart devices to adjust energy use with customer consent.
    • Creates a framework to coordinate distributed energy resources like electric vehicles and battery storage.

    Summary

    Assembly Member Harabedian's virtual power plant legislation directs the California Energy Commission to develop a comprehensive deployment strategy for coordinated networks of distributed energy resources by November 2026. The plan must identify pathways for virtual power plants - aggregations of electric vehicles, smart thermostats, battery storage systems and flexible commercial loads - to help meet the state's load-shifting targets while maintaining cost protections for non-participating ratepayers.

    The Energy Commission must evaluate barriers preventing virtual power plant resources from qualifying for resource adequacy requirements, assess their cost-effectiveness compared to alternatives, and recommend solutions through consultation with utilities, grid operators, and disadvantaged community representatives. The planning process requires multiple public workshops and stakeholder sessions with industry, workforce, and consumer organizations to gather input on implementation approaches.

    The legislation also institutes annual reporting requirements for electrical corporations to document their progress toward established load-shifting goals. These reports will be incorporated into the state's biennial integrated energy policy review alongside the virtual power plant deployment roadmap, creating a regular assessment mechanism for distributed resource integration efforts. The plan must specifically examine data access challenges, optimization strategies for grid benefits, and incentive structures that balance system-wide improvements with ratepayer impacts.

    Key Dates

    Next Step
    Referred to the Senate Standing Committee on Energy, Utilities and Communications
    Next Step
    Senate Committee
    Referred to the Senate Standing Committee on Energy, Utilities and Communications
    Hearing scheduled for , 1021 O Street, Room 1200
    Vote on Assembly Floor
    Assembly Floor
    Vote on Assembly Floor
    AB 740 Harabedian Assembly Third Reading
    Assembly Appropriations Hearing
    Assembly Committee
    Assembly Appropriations Hearing
    Do pass
    Assembly Utilities And Energy Hearing
    Assembly Committee
    Assembly Utilities And Energy Hearing
    Do pass as amended, and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar
    Introduced
    Assembly Floor
    Introduced
    Read first time. To print.

    Contacts

    Profile
    Anna CaballeroD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Shannon GroveR
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Benjamin AllenD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Henry SternD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Monique LimonD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    0 of 17 row(s) selected.
    Page 1 of 4
    Select All Legislators
    Profile
    Anna CaballeroD
    Senator
    Committee Member
    Profile
    Shannon GroveR
    Senator
    Committee Member
    Profile
    Benjamin AllenD
    Senator
    Committee Member
    Profile
    Henry SternD
    Senator
    Committee Member
    Profile
    Monique LimonD
    Senator
    Committee Member
    Profile
    Bob ArchuletaD
    Senator
    Committee Member
    Profile
    Melissa HurtadoD
    Senator
    Committee Member
    Profile
    Susan RubioD
    Senator
    Committee Member
    Profile
    Lena GonzalezD
    Senator
    Committee Member
    Profile
    Megan DahleR
    Senator
    Committee Member
    Profile
    Josh BeckerD
    Senator
    Committee Member
    Profile
    Rosilicie Ochoa BoghR
    Senator
    Committee Member
    Profile
    Angelique AshbyD
    Senator
    Committee Member
    Profile
    Aisha WahabD
    Senator
    Committee Member
    Profile
    John HarabedianD
    Assemblymember
    Bill Author
    Profile
    Jesse ArreguinD
    Senator
    Committee Member
    Profile
    Jerry McNerneyD
    Senator
    Committee Member

    Get Involved

    Act Now!

    Email the authors or create an email template to send to all relevant legislators.

    Introduced By

    John Harabedian
    John HarabedianD
    California State Assembly Member
    40% progression
    Bill has passed all readings in its first house and is ready to move to the other house (6/2/2025)

    Latest Voting History

    View History
    June 2, 2025
    PASS
    Assembly Floor
    Vote on Assembly Floor
    AyesNoesNVRTotalResult
    790079PASS

    Key Takeaways

    • Requires the Energy Commission to adopt a virtual power plant deployment plan by November 2026.
    • Mandates electrical companies to report annually on their progress toward load-shifting goals.
    • Establishes requirements for smart devices to adjust energy use with customer consent.
    • Creates a framework to coordinate distributed energy resources like electric vehicles and battery storage.

    Get Involved

    Act Now!

    Email the authors or create an email template to send to all relevant legislators.

    Introduced By

    John Harabedian
    John HarabedianD
    California State Assembly Member

    Summary

    Assembly Member Harabedian's virtual power plant legislation directs the California Energy Commission to develop a comprehensive deployment strategy for coordinated networks of distributed energy resources by November 2026. The plan must identify pathways for virtual power plants - aggregations of electric vehicles, smart thermostats, battery storage systems and flexible commercial loads - to help meet the state's load-shifting targets while maintaining cost protections for non-participating ratepayers.

    The Energy Commission must evaluate barriers preventing virtual power plant resources from qualifying for resource adequacy requirements, assess their cost-effectiveness compared to alternatives, and recommend solutions through consultation with utilities, grid operators, and disadvantaged community representatives. The planning process requires multiple public workshops and stakeholder sessions with industry, workforce, and consumer organizations to gather input on implementation approaches.

    The legislation also institutes annual reporting requirements for electrical corporations to document their progress toward established load-shifting goals. These reports will be incorporated into the state's biennial integrated energy policy review alongside the virtual power plant deployment roadmap, creating a regular assessment mechanism for distributed resource integration efforts. The plan must specifically examine data access challenges, optimization strategies for grid benefits, and incentive structures that balance system-wide improvements with ratepayer impacts.

    40% progression
    Bill has passed all readings in its first house and is ready to move to the other house (6/2/2025)

    Key Dates

    Next Step
    Referred to the Senate Standing Committee on Energy, Utilities and Communications
    Next Step
    Senate Committee
    Referred to the Senate Standing Committee on Energy, Utilities and Communications
    Hearing scheduled for , 1021 O Street, Room 1200
    Vote on Assembly Floor
    Assembly Floor
    Vote on Assembly Floor
    AB 740 Harabedian Assembly Third Reading
    Assembly Appropriations Hearing
    Assembly Committee
    Assembly Appropriations Hearing
    Do pass
    Assembly Utilities And Energy Hearing
    Assembly Committee
    Assembly Utilities And Energy Hearing
    Do pass as amended, and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar
    Introduced
    Assembly Floor
    Introduced
    Read first time. To print.

    Latest Voting History

    View History
    June 2, 2025
    PASS
    Assembly Floor
    Vote on Assembly Floor
    AyesNoesNVRTotalResult
    790079PASS

    Contacts

    Profile
    Anna CaballeroD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Shannon GroveR
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Benjamin AllenD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Henry SternD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    Profile
    Monique LimonD
    Senator
    Committee Member
    Not Contacted
    Not Contacted
    0 of 17 row(s) selected.
    Page 1 of 4
    Select All Legislators
    Profile
    Anna CaballeroD
    Senator
    Committee Member
    Profile
    Shannon GroveR
    Senator
    Committee Member
    Profile
    Benjamin AllenD
    Senator
    Committee Member
    Profile
    Henry SternD
    Senator
    Committee Member
    Profile
    Monique LimonD
    Senator
    Committee Member
    Profile
    Bob ArchuletaD
    Senator
    Committee Member
    Profile
    Melissa HurtadoD
    Senator
    Committee Member
    Profile
    Susan RubioD
    Senator
    Committee Member
    Profile
    Lena GonzalezD
    Senator
    Committee Member
    Profile
    Megan DahleR
    Senator
    Committee Member
    Profile
    Josh BeckerD
    Senator
    Committee Member
    Profile
    Rosilicie Ochoa BoghR
    Senator
    Committee Member
    Profile
    Angelique AshbyD
    Senator
    Committee Member
    Profile
    Aisha WahabD
    Senator
    Committee Member
    Profile
    John HarabedianD
    Assemblymember
    Bill Author
    Profile
    Jesse ArreguinD
    Senator
    Committee Member
    Profile
    Jerry McNerneyD
    Senator
    Committee Member