On May 7, 2019, Governor Jay Inslee signed the Clean Energy Transformation Act (CETA) (SB 5116, 2019) into law, which commits Washington to an electricity supply free of greenhouse gas emissions by 2045. Clean electricity will allow Washington residents and businesses to power their buildings, homes, vehicles and appliances with carbon-free resources such as wind and solar. Reducing fossil-fuel use will improve the health of communities, grow the economy, create family-sustaining jobs, and enable the state to achieve its long-term climate goals.
The law provides safeguards to maintain affordable rates and reliable service. It also requires an equitable distribution of the benefits from the transition to clean energy for all utility customers and adds and expands energy assistance programs for low-income customers. Commerce is a key leader in implementing this law. Working with utilities, other state agencies and multiple stakeholders, Commerce develops rules and reporting procedures and conducts regular assessments to ensure success.
CETA interim assessment
Commerce is requesting information and public comment by close of business Thursday, Oct. 29, 2026, to inform the assessment of CETA under RCW 19.405.080.
Background
Commerce must submit a report to the Legislature every four years evaluating implementation of CETA’s 2030 greenhouse‑gas neutral and 2045 carbon‑free electricity standards under RCW 19.405.080. Essential assessment elements from RCW 19.405.080 include:
- Review of the 2025, 2030 and 2045 clean‑electricity standards.
- Evaluation of system‑reliability impacts for 2030 and 2045.
- Financial costs and benefits to utilities and customers.
- Review of new technologies that could qualify as renewable.
- Assessment of impacts on middle‑income families, small businesses and manufacturers.
Resources
CETA sets Washington on a gradual path from 2019 to 2045 to 100% clean electricity. Utilities may adopt a slower transition path if necessary to avoid rate shock. The law also provides for short-term waivers of the clean energy standards if needed to protect reliability.
CETA requires that equity considerations become an explicit part of utility planning. Utilities are required to assess the potential impacts of their decisions on two communities: vulnerable populations and highly impacted communities. Vulnerable populations are communities that experience a disproportionate risk from environmental burdens due to socioeconomic and biological factors that are identified by utilities in conjunction with public input. Highly impacted communities are geographic communities, impacted by fossil fuels and climate change and identified by the Washington State Department of Health’s Environmental Health Disparities Map or communities located at least partially on tribal land.
Utilities must provide a public process for receiving feedback on their plans and a description of how public comments were reflected in their governing board or commission-approved plans. Utilities must also improve energy assistance programs for low-income households by designing programs that lower the energy burden.
CETA supports Washington workers and businesses by providing tax incentives for clean energy projects that employ women, minorities, or veteran-owned businesses, as well as businesses that have a long history of complying with federal and state wage and hour laws and regulations, and employers who hire local workers or offer apprenticeship programs. The incentives are available through 2029 to encourage early investments in the electric grid.
Commerce is working closely with the Utilities and Transportation Commission (UTC), which regulates the rates and service of investor-owned utilities, to implement CETA. Other state agencies with roles in CETA implementation and compliance include the State Auditor, the Attorney, and the departments of Ecology and Health. Interested stakeholders include business customers, low-income and vulnerable communities, consumers, environmental advocates and renewable energy developers.
Clean Energy Implementation Plans (CEIPs) and Interim Performance Reports (IPRs)
Planning is key to making the transition to 100% clean electricity affordable, reliable and fair. RCW 19.405.060 requires electric utilities to create four-year plans to meet CETA requirements. CEIPs of consumer-owned utility are submitted to Commerce. Investor-owned utilities submit their plans to the Utilities and Transportation Commission. The most recent CEIPs cover 2026-2029.
In addition to submitting four-year CEIPs utilities must assess outcomes from their prior CEIPs. Both investor-owned utilities and consumer-owned utilities are required to submit reports to Commerce.
Commerce has adopted comprehensive reporting procedures for public utility districts, municipal electric utilities and electric cooperatives. These utilities are required to submit clean energy implementation plans every four years, and starting in 2026, they must submit progress or compliance reports (WAC 194-40-040). Commerce worked with a CETA Interim Performance and Compliance advisory group to develop a reporting template for the interim performance report due July 1, 2026.
Washington’s consumer-owned utilities have submitted their 2022-25 and 2026-2029 Clean Energy Implementation Plans (CEIPs). The CEIP reports show how a utility intends to comply with CETA’s clean energy and equity requirements over the next four years and make progress toward the 2030 greenhouse gas neutral and 2045 greenhouse gas-free standards.
Commerce has aggregated the 2022-2025 CEIP data into a combined file. The collection of 2026-2029 CEIPs and 2022-2025 CETA interim performance reports are still ongoing: