CA AB2516

Establishes the California Grid Manufacturing Initiative within GO-Biz's Energy Unit to aggregate statewide demand for critical electricity grid components, coordinate procurement, and incentivize in-state manufacturing of transformers and other grid equipment

Requires all public utilities to submit purchasing projections for grid components (January 2028 through December 2032) by January 1, 2028, and mandates they purchase identified components through the initiative unless unavailable

Authorizes the Energy Unit to offer targeted incentives when supply is constrained, including bond financing, low-cost loans, tax incentives, and advance purchase agreements, conditioned on in-state production and high-quality job creation

Permits the state to enter production joint ventures with private manufacturers, with shared ownership structures and requirements for California-based facilities and lower-than-market pricing for finished products

Creates the California Grid Manufacturing Initiative Revolving Fund with Manufacturing Incentive and Procurement Accounts, funded through revenue bonds issued by the Infrastructure and Economic Development Bank, with continuous appropriation authority