California renews partnership with Mexican state on clean energy development

California and the Mexican state of Sonora signed a four-year memorandum of understanding to continue to collaborate on clean energy.

California and Sonora are neighboring states that share many common challenges including air pollution and energy reliability concerns, as well as opportunities including expanded regional access to renewable energy and opportunities for nearshoring components of clean energy technology, according to the MOU signed March 17.

"This agreement builds on years of partnership between the California Energy Commission and Mexico on sharing knowledge and best practices essential to addressing the shared imperative of climate change," Commission Chair David Hochschild told S&P Global Commodity Insights on March 18. "Californians and Sonorans both can benefit from this engagement and its accelerated deployment of energy efficiency and abundant and affordable solar resources in the border region."

The two states intend to collaborate on clean energy through initiatives focused particularly on renewables, energy efficiency, electric system reliability and markets, electric mobility, clean and renewable hydrogen, supply chain development, and supporting research and development. The two states will create an action plan to implement the objectives of the MOU, which include:

• Increasing the development of renewable electricity
• Maintaining electric system reliability and expanding regional access to renewables
• Increasing energy efficiency in buildings
• Increasing resiliency of the supply chain for components essential to the clean energy transition
• Supporting research and development in clean energy and electric mobility

"Despite the border that divides us, California and Sonora share the common challenge of adapting to a hotter, drier world," California Governor Gavin Newsom said in a March 17 statement. "But we also share a common drive to advance real solutions. Today's partnership brings our states together to clean the air and expand access to more clean energy."

California has a goal of 100% electricity generated from renewable and zero-carbon energy by 2045. The state also plans to add 60 GW of renewables and storage by 2035.

Activities to achieve the MOU objectives may include:

• Meetings between CEC subject matter experts and officials at the State of Sonora for the purpose of knowledge and best practices transfer
• Meetings with the California Independent System Operator and other entities relevant to aid the State of Sonora in exploring exporting renewable energy into the US
• Meetings with the California Governor's Office of Business and Economic Development on supply chain development
• Facilitation of research by interested universities on relevant subject areas
• Collaboration to promote a bi-national research and development center for the electromobility industry

Officials from both states met in April 2023 and June 2023 to discuss the Sonora Plan and subnational cooperation between California and Sonora on clean energy.

California has also partnered with Brazilian states, the Emilia-Romagna region of Italy, South Korea's Gyeonggi Province, Sweden, Norway, China, Australia, Canada, New Zealand, Japan, The Netherlands, Washington state, Oregon and British Columbia.