California’s Sustainability Journey: A 2025 Progress Report
Written by Amanda Wild
Credit: CalEPA
As environmental challenges continue to evolve, California continues to advance sustainability through innovation, planning and collaboration. This year has marked meaningful progress from clean energy milestones, climate policy, and community resilience, demonstrating how environmental action can drive resilience, equity, and economic growth.
A Roadmap to Carbon Neutrality
While deemphasized federally, California is committed to reducing the impacts of climate change through its Climate Scoping Plan, updated in 2022, which lays out a strategy to achieve carbon neutrality by 2045. Key targets, include:
48% emissions reduction by 2030, surpassing the statutory mandate of 40%.
85% reduction in greenhouse gas emissions below 1990 levels by 2045.
94% decrease in fossil fuel consumption, with a sharp decline in oil demand.
These goals are supported by transformative investments in clean energy, transportation, housing, and public health. The state is expanding renewable energy and battery capacity, building 3 million climate-friendly homes by 2030 and installing 6 million heat pumps to improve energy efficiency.
Clean Energy Milestones
In 2023 California was powered by 67% clean energy, making it the largest economy in the world to do so. In 2024, the state added an additional 7,000 MW of clean energy capacity, led by solar and battery storage.
Notably, California’s grid has run on 100% clean electricity for an average of 7 hours per day in 2025, totaling nearly 52 full days powered entirely by clean electricity. These milestones reflect a 750% increase in clean energy days since 2022 and highlights the state’s progress in decarbonizing its power sector.
Climate Disclosure Laws: A New Era of Transparency
California also enacted two first-of-their-kind climate disclosure laws: SB 253 (Climate Corporate Data Accountability Act) and SB 261 (Climate-Related Financial Risk Act).
SB 253 requires companies with over $1 billion in annual revenue to report Scope 1 and 2 greenhouse gas emissions starting in 2026, and Scope 3 emissions by 2027. These disclosures must be verified by third parties and submitted to the California Air Resources Board (CARB).
SB 261 mandates biennial public reporting of climate-related financial risks for companies with over $500 million in revenue, beginning January 2026.
CARB plans to issue the SB 253 implementing regulations by the end of 2025. While legal challenges are on-going, the agency encourages good-faith compliance.
Equity and Economic Growth
California’s sustainability efforts are designed to support not just environmental goals but are also rooted in equity and economic opportunity. The Climate Scoping Plan projects the creation of 4 million new jobs by 2045, with green industries like electric vehicle manufacturing and renewable energy development driving growth.
The introduction of tools like the Climate Vulnerability Metric ensures that communities most at risk from climate change are prioritized in planning and investment decisions.
Looking Ahead
California’s progress in 2025 is a testament to what’s possible when coordinated planning and public-private collaboration converge. While challenges remain, California’s roadmap offers valuable insights for others exploring sustainable development pathways.
At Aspen, we’re proud to support clients navigating this evolving landscape—whether through climate planning to meet climate targets, advising on infrastructure development, or conducting environmental impact assessments. Together we’re working toward a resilient, sustainable and equitable future—one that also fosters economic opportunity and growth.