Sector Overview

In pursuit of sourcing 100% of its energy from renewable and zero-carbon resources by 2045 and building on a rich history of clean energy production, California’s robust and market-driven clean economy spans multiple subsectors and reaches nearly every region in the state.

California has a robust solar and wind energy sector, producing more than double the solar energy output of any other state with a market valued at roughly $100 Billion^4,5 The state is a leader in battery and ZEV production, with several advanced battery manufacturers operating in California and supporting a ~750% increase in battery storage over the past four years.⁶

As a state at the forefront of climate and clean energy innovation, with renewable energy supplying 54% of California’s electricity compared to 40% for the U.S. overall, the state is poised to lead on the future of the clean economy.⁷

California Competes Tax Credit

The California Competes Tax Credit is an income tax credit available to businesses who want to relocate, stay, or grow in California. Our team provides no-cost consultations to see if your business qualifies.

Advanced Transportation and Manufacturing Sales and Use Tax Exemption

The California Alternative Energy and Advanced Transportation Financing Authority (CAEATFA) offers a full sales and use tax exclusion to manufacturers that promote alternative energy and advanced transportation.

Research & Development Tax Credit 

A business may qualify for an income tax credit if it paid for or incurred qualified research expenses while conducting qualified research activity in California. Qualified research expenses include wages, supplies, and contract research costs.