On Friday, September 11, the California Legislature approved SB 14, which requires 20% of the state's energy to be renewable by December 31, 2013, with that figure increased to 33% by December 31, 2020. Although renewable energy has typically had strong backing by Governor Arnold Schwarzenegger, this week he announced his intent to veto the bill since it is overly complex and limits the amount of renewable energy that can be sourced out-of-state. Instead, the governor issued Executive Order S-21-09.  

Looking toward the Air Resources Board's AB 32 authority, the Order requires the Board to adopt a regulation by July 31, 2010 setting forth approaches to achieve the 33% renewable energy target, taking into consideration such factors as technical feasibility, system reliability, cost, greenhouse gas emissions, and environmental protection.

In addition, the Board is directed to work with the Public Utilities Commission and the California Energy Commission throughout the process and must also consult with load balancing authorities regarding impacts on reliability, renewable integration requirements, and interactions with wholesale power markets.

Finally, the Board must "establish the highest priority for those resources that provide the greatest environmental benefits with the least environmental costs and impacts on public health that can be developed most quickly and that support reliable, efficient, cost-effective electricity system operations including resources and facilities located throughout the Western Interconnection."