AB 1182: Energy Incentives

Assembly Bill 1182 by Assemblywoman Cottie Petrie-Norris (D-Los Angeles) was amended to have the Governor’s Office of Business and Economic Development (GO-Biz) to also pursue federal energy incentives. AB 1182 would add and repeal Article 10.5 (Section 12100.115) to Chapter 1.6 of Part 2 of Division 3 of Title 2 of the Government Code.

Section 1 of the bill would set forth four legislative findings and declarations including that federal action adopting the IRA and the IIJA represents a tremendous opportunity to leverage state incentives to win federal funds that align with the state’s climate change, water, and energy goals.

Section 2 of the bill would add Article 10.5, which would be titled “Federal Energy Incentive Alignment.” The bill would define the term “cofund.” GO-Biz would be required to align state incentives with federal funds awarded in the federal Inflation Reduction Act and the Infrastructure Investment and Jobs Act that meet the state’s energy, water, air quality, and climate goals.

The bill would also require GO-Biz to provide reports to the Assembly and Senate Budget Committees and subcommittees. This annual report must include all awards to entities in the state from the IRA and IIJA with specified information. This article would remain in effect until January 1, 2033 and then be repealed.