Assemblymember Petrie‑Norris’s AB 8 25 cleared by Senate committee to pursue a Western electricity market

Assemblymember Petrie Norris presented AB 8 25 to the Senate Committee on Energy, Utilities and Communications, describing a negotiated proposal to enable California to join an expanded Western electricity market to lower costs, improve reliability and reduce greenhouse‑gas emissions.

“Studies by the Brattle Group and Stanford have estimated that an expanded Western electricity market could save California rate payers up to a billion dollars every year, along with improving reliability, lowering the risk of blackouts, reducing greenhouse gas emissions,” Assemblymember Petrie Norris said during her presentation.

AB 8 25 would permit participation in a wider Western day‑ahead market and includes a list of governance safeguards, the requirement that market rules respect each state’s procurement and public‑interest policies, reporting and annual testimony requirements to the Legislature, and an explicit earliest‑start year of 2028. The measure also includes an explicit exit mechanism and a requirement that CAISO maintain systems necessary to operate a California‑only market if the state later withdraws.

Multiple supporting witnesses appeared in the hearing and described the bill as a hard‑won compromise backed by a broad coalition that includes labor unions, environmental groups, publicly owned utilities, independent generators and big electricity users. Hunter Stern of the Coalition of California Utility Employees and the California State Association of Electrical Workers testified in strong support, citing reduced curtailment and improved economics for renewable projects. Michael Holborn of the Environmental Defense Fund also testified in support, emphasizing reporting requirements and consumer protections added in the current version of the bill.

Sen. Becker, who joined as coauthor, framed the bill as the product of many years of work and reiterated the reliability and cost‑saving benefits, saying the proposal had been amended to include oversight measures that address member concerns.

Following questions and testimony, the committee recorded a favorable motion and reported AB 8 25 to the Senate floor. The committee record shows the motion to send the bill to the floor passed and later announcements recorded the bill as passing the committee with 12 votes in favor and none recorded against.

Key elements discussed in committee record: a governance structure to preserve state policy authority (including renewable portfolio standard and resource adequacy), legislative oversight through annual CAISO reporting and testimony, an earliest start date for market participation (2028), an exit process without penalties, and stated modeled benefits including estimated customer savings and reduced grid stress hours.

Next steps: AB 8 25 was reported out of committee to the Senate floor for further consideration.