Governor Newsom welcomes approval of Diablo Canyon license renewals, delivering on California’s commitment to a clean and reliable grid

Diablo Canyon provides Californians with access to a large amount of electricity at a stable cost that is not subject to the fluctuation of fossil fuel-based power resources.

How we got here 

In September 2022, Governor Newsom signed SB 846 by Senator Bill Dodd (D-Napa), authorizing a limited-term extension of the Diablo Canyon Power Plant beyond its planned closure—with Unit 1 slated to retire in 2024 and Unit 2 in 2025. This measure was developed in partnership with the Legislature and structured to capitalize on federal support while minimizing costs to California ratepayers and taxpayers. The bill authorized a loan from the state’s General Fund and directed PG&E to apply for federal support through the U.S. Department of Energy’s Civil Nuclear Credit Program. The federal government granted an award worth up to $1.1 billion to support the extension.

Since 2022, the California Public Utilities Commission (CPUC) has played an important role in implementing SB 846 by issuing multiple decisions that collectively authorized the extension of Diablo Canyon. The CPUC has also extended employee retention funding for Diablo Canyon workers.

In 2024, Diablo Canyon Power Plant supplied approximately 10 percent of the state’s total electricity, including 16 percent of California’s zero-carbon electricity. The limited-term extension allows the state to rely less on fossil fuels and more on clean resources for the electricity grid as more renewable resources come online.

PG&E submitted its license renewal application to the NRC in November 2023. The Central Coast Regional Water Quality Control Board approved the final state permits on February 26, 2026, clearing the last remaining hurdle before the NRC could act.

Under state law established by SB 846, the plant may only operate under the renewed license through 2030, even though the NRC has relicensed Diablo Canyon through 2044 and 2045 for the plant’s two units. Any extension of operations beyond 2030 would require action by the California Legislature.

California’s climate leadership

Pollution is down and the economy is up. Greenhouse gas emissions in California are down 21% since 2000 — even as the state’s GDP increased 81% in that same time period, all while becoming the world’s fourth largest economy.

California also continues to set clean energy records. In 2023, the state was powered by two-thirds clean energy, the largest economy in the world to achieve this level. California has also run on 100% clean electricity for part of the day almost every day this year.

Since the beginning of the Newsom Administration, battery storage has surged to nearly 17,000 megawatts — a 2,100%+ increase, and over 30,000 megawatts of new resources have been added to the electric grid. California now has 33% of the storage capacity estimated to be needed by 2045 to reach 100% clean electricity.