Governor Newsom announces $3,500 instant rebates now available for Californians buying their first zero-emission vehicle

When Governor Newsom took office in 2019, fewer than 700 MW of battery storage served the California grid. Today, that number stands at 21,112 MW, including roughly 18,000 MW of grid-scale storage that discharges directly onto the grid, plus another 3,000 MW of smaller batteries at homes, schools, farms, and businesses that help offset demand on-site. That’s an increase of over 2,500% in just seven and a half years. Thanks to the Legislature’s partnership and sustained state investment and policy, California is the nation’s clean energy leader and a global model for the energy transition.

“California has always prioritized innovation, investing in the science and technology of the future and advancing the goalpost on what is possible,” said CEC Chair David Hochschild. “We are seeing renewables and batteries perform like never before, proof that our vision of a 100% clean energy future is absolutely possible.”

The California Public Utilities Commission (CPUC) has played the central role in building the nation’s largest battery storage fleet by requiring utilities and other load-serving entities to procure thousands of megawatts of energy storage, helping ensure our reliable, affordable, and increasingly clean electric grid.

“California’s battery storage success is the result of thoughtful planning and sustained investment,” said CPUC President John Reynolds. “The CPUC has worked to ensure these resources are brought online in a way that strengthens grid reliability, supports the integration of more clean energy, and delivers long-term benefits for California customers, especially for affordability. As we continue planning for the grid of the future, battery storage will remain a critical part of keeping the lights on while advancing our clean energy goals.”

Solar and batteries: a winning formula

California leads the nation in solar and battery power because of our commitment to a carbon-neutral future by 2045. It’s also because solar power and batteries make economic sense. Twenty-five years ago, solar panels cost about $5 per watt. Today, that number is down to just 15 cents per watt. Lithium-ion battery prices have also dropped more than 90% over the last ten years.

• Solar takes the lead: For the first time ever, solar power has surpassed natural gas as the largest source of electricity in California during the first half of 2026. While seasonal factors play a role — solar production is strong, and electricity use is relatively moderate in spring — the trend highlights how the growing contribution of solar and battery storage is changing how California’s grid operates. That shift means less air pollution, fewer costly natural gas plants firing up, and long-term cost savings for Californians.

• Solar growth by the numbers: Comparing January through June of 2024 to that same stretch in 2026, solar power usage grew by 22%, while natural gas usage dropped by 51%, according to a California Energy Commission (CEC) analysis of state grid data. Meanwhile, grid battery storage capacity grew by 80% over that same period, giving solar power somewhere to go even after the sun sets. California’s solar energy capacity breaks new records regularly, reaching over 23,000 MW in June 2026.

• Largest energy storage capacity: California’s battery storage system has the most capacity of any system in the nation. California’s fleet is dominated by 4-hour-duration systems interconnected to the bulk electric grid, allowing it to deliver stored power for roughly twice as long as systems like in Texas. California isn’t stopping there: the state is procuring and building even longer-duration storage, and recently celebrated its first 8-hour battery project, the Tumbleweed Energy Storage facility in Kern County.

This shift reflects years of Newsom administration and legislative investments and a whole-of-government approach to building an economy that creates good-paying jobs, lowers costs for families, and positions California to win the global clean energy economy.

California’s clean energy leadership

Since Governor Newsom took office in 2019, California has added more than 37,000 megawatts of utility-scale clean and renewable energy to serve the California grid. That’s helped make the grid more reliable and pushed the state further along its path in the clean energy transition.

Batteries play a key role in California’s goal of getting all of its electricity from clean sources by 2045. The most recent numbers, from the end of 2024, show real progress: 67% of retail electricity sales in the state already come from clean energy. Last year, clean energy met 100% of the state’s electricity needs for at least part of the day on 279 separate days. So far in 2026, that’s happened on more than nine out of 10 days during the first half of the year.

California is building this fleet safely. In 2024, Governor Newsom launched a State Battery Storage Safety Collaborative that has already delivered updated fire codes, new state oversight of battery facilities, and stronger safety standards statewide. The CPUC helps maintain electric grid reliability for the public by ensuring power plants and energy storage systems comply with CPUC standards for operations and maintenance.

Clean energy is also good for the economy. California leads the nation in total clean energy jobs, with 552,300 workers employed across clean energy technologies, nearly twice as many as the second-ranked state, Texas, according to a 2025 report from E2. California’s clean energy workforce grew by nearly 7,300 workers in 2024, outpacing job growth in the rest of the state’s economy by more than three times.

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