California

Environmental groups mixed on outcome of secret California climate negotiations

Calpine announces first-of-its-kind in California carbon capture (CCUS) demonstration pilot adjacent to an existing natural gas power facility at Los Medanos Energy Center Friday, July 14, 2023 in Pittsburg. The U.S. DOE gave a grant for the FEED study that will help inform this project’s findings and could help decarbonize existing natural gas power plants across California and U.S. The solvent-based technology will be retrofitted onto Calpine’s existing facility at Los Medanos Energy Center, maintaining energy production while capturing up to 95% of carbon emissions. The demonstration pilot’s innovative technology, developed by ION Clean Energy, will make carbon capture, utilization, and sequestration (CCUS) projects a more practical, pragmatic, and cost-efficient pathway to reducing the rate of greenhouse gas at existing power facilities.
Calpine announces first-of-its-kind in California carbon capture (CCUS) demonstration pilot adjacent to an existing natural gas power facility at Los Medanos Energy Center Friday, July 14, 2023 in Pittsburg. The U.S. DOE gave a grant for the FEED study that will help inform this project’s findings and could help decarbonize existing natural gas power plants across California and U.S. The solvent-based technology will be retrofitted onto Calpine’s existing facility at Los Medanos Energy Center, maintaining energy production while capturing up to 95% of carbon emissions. The demonstration pilot’s innovative technology, developed by ION Clean Energy, will make carbon capture, utilization, and sequestration (CCUS) projects a more practical, pragmatic, and cost-efficient pathway to reducing the rate of greenhouse gas at existing power facilities. pkitagaki@sacbee.com
Key Takeaways
Key Takeaways

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  • California lawmakers reached a last-minute deal to extend cap-and-trade to 2045.
  • Environmental groups split, citing both policy gains and missed protections.
  • Justice advocates criticized pollution carve-outs favoring oil interests in Kern County.

The California Legislature’s big, last-minute climate deal is drawing mixed reactions from the environmental community.

Talks over California’s cap-and-trade program, which effectively forces polluters to pay the state for excess carbon emissions, ended as the shot clock was running out Tuesday night. Negotiations between representatives from the state Senate, Assembly and governor’s office were wide-ranging and drew in numerous other pieces of climate and environmental legislation.

The ensuing six bills, which lawmakers are expected to vote on Saturday morning, have drawn mixed reactions from climate policy and environmental groups, who’ve been following the months-long saga.

“We definitely saw worse proposals than this throughout the process,” said Ryan Schleeter with the Santa Rosa nonprofit The Climate Center, a climate policy think-tank.

“There were some good things that made it in, although the missed opportunities are probably bigger.”

Groups with a more national footprint framed the passage as a rebuke to President Donald Trump and his policies.

“While the Trump administration attacks California and undercuts jobs in wind, solar and electric vehicles, our state leadership came together around a package of bills to lead the clean energy transition into the next decade,” said Victoria Rome, who leads California policy for the Natural Resources Defense Council.

A coalition of 10 environmental justice and health organizations, including the California Environmental Justice Alliance and the Central Valley Air Quality Coalition, signed onto a letter Wednesday calling out specific elements of bills that they say harm vulnerable communities.

They called out Gov. Gavin Newsom and legislative leadership for not being stricter about enforcing emissions reductions and for giving the oil industry a carve-out from administering environmental quality reviews in Kern County.

“Once again, these bills continue to make (environmental justice) communities into sacrifice zones for the benefit of industry profit,” the letter read.

Cap-and-trade was a policy passed in 2006 by then-governor Arnold Schwarzenegger that caps carbon emissions allowed by all polluting entities. Companies must hold allowances for the pollution they produce, and both companies and investors can buy and sell those allowances in a market.

Newsom, who stopped by the Capitol Tuesday night to engage directly in the talks, has maintained reauthorization was necessary this year to preserve the program, given the forward-looking nature of the markets. California’s program was to expire in 2030, but if legislators pass the contents of the deal Saturday, it will remain in place until 2045.

Sources close to the negotiations said the governor and state Assembly were mostly aligned to do a “straight” reauthorization of the program, with the state Senate, and longtime Senate policy advisor Kip Lipper, pushing for more aggressive tactics to reduce pollution.

This story was originally published September 10, 2025 at 3:59 PM with the headline "Environmental groups mixed on outcome of secret California climate negotiations."

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Kate Wolffe
The Sacramento Bee
Kate Wolffe covers the California Legislature for The Sacramento Bee. Previously, she reported on health care for Capital Public Radio in Sacramento and daily news for KQED-FM in San Francisco. She is a graduate of UC Berkeley.
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