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

Senator McNerney's clean energy supply chain legislation establishes a new framework for coordinating California's development of domestic manufacturing capacity in zero-emission vehicles, offshore wind components, and building electrification equipment. The bill creates a Senior Counselor position within the State Energy Commission to oversee industrial policy initiatives and requires seven state agencies to jointly develop strategies for growing these emerging industries.

The Senior Counselor will collect and publish data on industry economics and workforce needs, coordinate among manufacturers and labor groups, assist companies exploring in-state production facilities, and convene working groups focused on specific sectors like battery manufacturing and offshore wind. These groups will evaluate potential policy tools including public procurement, strategic investments, and financial incentives to accelerate domestic supply chain development while prioritizing job quality and environmental justice.

By March 2026, participating agencies must establish a memorandum of understanding outlining their coordinated approach to industrial development across these clean energy sectors. The agreement will detail plans for maximizing the impact of public funding, identifying priority industry segments for vertical integration, analyzing various economic development mechanisms, and establishing workforce standards and training programs. A new dedicated fund will support these activities using federal grants and other contributions, subject to legislative appropriation.