Tom Steyer, a hedge fund billionaire and Democratic candidate in the California governor’s race, has placed climate change at the forefront of his campaign by emphasizing the economic benefits of clean energy. Known for his substantial contributions to climate causes and his previous presidential bid, Steyer is framing the transition to renewable energy as a solution to California’s affordability crisis.

In a race marked by volatility, Steyer’s climate-focused platform, supported by significant personal funding, has propelled him into the leading tier of Democratic contenders. California’s nonpartisan primary is scheduled for Tuesday, with the top two candidates advancing to the general election in the fall.

Steyer argues that voters are primarily concerned with affordability, and he believes clean energy offers the most effective way to reduce living costs. “Doing the right thing is cheaper,” he said, highlighting how renewable sources like solar and wind bypass geopolitical risks associated with fossil fuels, such as those linked to the Strait of Hormuz. Steyer points to the global surge in solar panel adoption as evidence of this trend.

A key challenge, he acknowledges, is the difficulty of developing clean energy infrastructure in California, where regulatory hurdles and high electricity costs have persisted despite the state’s historical leadership on environmental policy. To accelerate the transition, Steyer proposes reforms aimed at increasing local competition and expanding the integration of solar panels and battery storage, including the creation of localized microgrids. Among his plans is tripling state tax credits for electric vehicle (EV) purchases to encourage wider adoption.

Steyer has also advocated breaking up Pacific Gas & Electric (PG&E), the state’s largest utility, which he critiques as a legal monopoly obstructing access to affordable renewable power. He points to the high energy costs faced by Californians compared to the national average and cites the higher irrigation expenses for Central Valley farmers relative to those in Texas as examples of the system’s inefficiency.

Addressing criticism regarding his previous hedge fund’s involvement in the coal industry, Steyer denied current investments in oil and gas, emphasizing his commitment to clean energy. While acknowledging that federal policies under the Trump administration have posed obstacles for wind and solar development in the U.S., he points to growing renewable energy projects worldwide—in regions such as Africa, Pakistan, and Asia—as evidence that the transition is irreversible. He also criticized restrictions on cheaper imported Chinese electric vehicles, arguing they undermine U.S. competitiveness.

Steyer maintains that sound economic and scientific principles clearly favor clean and sustainable energy. Drawing on his business background, he envisions California as a leader in renewable technology innovation and job creation, urging the state to capitalize on its technological capacity to advance the clean energy economy. “We are the people who come up with the technology,” he said, “let’s build and succeed and hire a whole bunch of people and show we can do it.”