California’s Blueprint for Prosperity: Fixing the Triple Whammy with Affordable, Reliable Energy and Secure Water 2026

  


California’s Blueprint for Prosperity: Fixing the Triple Whammy with Affordable, Reliable Energy and Secure Water

California once delivered a broad, high standard of living to the majority of its people. Today, record GDP numbers hide the reality: residential electricity rates average 33.75 ¢/kWh (up to 36 ¢ in many areas) — roughly 87% above the national average — while families face water vulnerabilities, heavy taxes and regulations, and a continuing exodus of middle-class residents. This is the Triple Whammy (Energy + Water + Taxes & Regulations) driving a slow death march that squeezes the middle class.

PRIMIS: No state or country in modern times can achieve or maintain widespread prosperity without affordable, abundant, and reliable energy. This Blueprint restores that foundation — targeting 20–24 ¢/kWh retail rates by 2035 — while securing long-term water supplies. It is grounded in engineering reality, physics, and data from the California Energy Commission (CEC), CAISO, and Department of Water Resources (DWR).

Energy Needs by 2035

  • Current (2024–2026): Baseload 20,000–22,000 MW; summer peak up to 52,061 MW (2022 record); annual generation ~287,000–300,000 GWh.

  • 2035 Projections (driven by 8 million EVs, 6.75 million all-electric homes, rail, and data centers): Baseload rises 40–50% to 27,500–31,850 MW. Summer peaks could reach 60,000–65,000 MW. Total demand: 402,000–430,000 GWh/year.

California’s strong energy efficiency (flat or declining per-household use) helps, but reliability cannot depend on intermittent sources alone during multi-day extremes or heatwaves.

Energy Solutions: A Balanced, Reliable Mix

A practical portfolio ensures 24/7/365 power at lower cost:

  • Small Modular Reactors (SMRs): Deploy 33–36 units (6,600–7,200 MW) at 6–10 ¢/kWh to provide 20–25% of baseload — firm, clean, dispatchable power that replaces aging gas plants.

  • Hydropower & Pumped Storage: Expand traditional hydro (12,000–14,000 MW at 4–8 ¢/kWh) and add low-level pumped storage (1,000–2,000 MW initially, scalable to 10,000 MW) using Proposition 1 sites. This handles peaks and stores both energy and water.

  • Renewables + Storage: Solar, wind, and geothermal (target 20,000+ MW at 3–6 ¢/kWh) paired with batteries (15,000 MW) for daytime and peak management. Shift 50% of EV charging to off-peak.

  • Blended Generation Cost: Aim for 8–12 ¢/kWh (before grid fees), enabling 20–24 ¢/kWh retail after utility reforms.

Without SMRs, an all-renewables path with much larger pumped storage and batteries is possible but more expensive and less reliable.

Water-Energy Synergy via Proposition 1

Proposition 1 ($7.545 billion voter-approved water bond) is a powerful tool for both water security and energy. Projects like Sites Reservoir (1.5 million acre-feet, ~500 MW potential — draft water right decision released March 2026) and Del Puerto (pumped storage + habitat) add reliable power while saving ~1,000 GWh/year in pumping energy. They support agriculture ($50 billion/year industry), cities, and tech.

We must accelerate remaining funds and cut delays from CEQA lawsuits and competing priorities.

Utility & Governance Reforms (The “C” in the Triple Whammy)

To hit affordability targets and stop loading unnecessary costs onto ratepayers:

  • Wildfire Costs: Ratepayers have already paid twice — for prevention that was often delayed and again for repairs and damages. Future grid hardening must be funded primarily from utility shareholders (with sharply reduced or zero Return on Equity on mitigation and restoration capital), redirected existing revenues (Cap-and-Trade, unspent funds), and competitive bidding. Avoid new bonds wherever possible — they force taxpayers to pay principal plus interest. Bar or strictly limit prevailing wage and Project Labor Agreements (PLAs) on these projects so the state gets full value for every dollar and work gets done faster and cheaper.

  • CEQA & Permitting Reform: Cap reviews at 12–18 months for critical energy and water infrastructure. This saves time and money without weakening core environmental protections.

  • Utility Accountability: Cut authorized Return on Equity (currently ~9.9–10%) further on safety-related spending and tie executive compensation to actual performance. Redirect unspent wildfire funds directly to hardening work.

  • Pay-As-We-Build Principle: Fund new capacity and hardening incrementally from current revenues and redirected accounts rather than debt that burdens future generations.

If public or general funds are used for grid hardening, the public should retain ownership or strong control of those assets — not hand private utilities another rate-base item to earn profit on for decades.

Challenges & Path Forward

Overreliance on variable renewables risks shortages. Regulatory delays, utility cost structures, and misallocated priorities have driven rates too high. A full public accounting of past wildfire decisions and cost shifts is overdue so Californians can see exactly where accountability is needed.

Recommendations (for the next governor and legislature):

  1. Fast-track 10 SMRs by 2030, scaling to 33–36 by 2035 (~$20 billion total, with private capital and streamlined permitting).

  2. Allocate remaining Proposition 1 funds aggressively for Sites Reservoir and Del Puerto pumped storage by 2030.

  3. Triple battery storage and geothermal while shifting EV charging to off-peak.

  4. Enact lean governance: CEQA timelines, utility ROE reform, no PLAs/prevailing wage on critical projects, and competitive bidding.

  5. Use transparent public communication (including on X) to build support and expose delays or cost-shifting.

California can restore broad-based prosperity. By prioritizing affordable, abundant, and reliable energy (your PRIMIS) alongside secure water, we reverse the Triple Whammy, support 8 million EVs and all-electric homes, protect agriculture and tech, and keep the middle class from fleeing. This is achievable with pragmatic engineering, fiscal discipline, and real accountability.

Curtis Neil — April 2026

Supporting Sources

Curtis Anthony Neil/Grok 4.0/ LibreOffice. April  12th. 2026 AD.

Bakersfield, California, USA, North America, Planet Earth (Terra), the third planet from the Sun (Sol), Solar System, Orion Arm, Milky Way Galaxy




Comments