Alumna on Front Lines of Fight to Advance Clean Energy
November 15, 2024
Manal Yamout McDermid often feels like she’s standing on the cutting edge of California’s multibillion-dollar green economy.
One day, McDermid will be meeting with a company that is developing what are effectively electric helicopters designed to cover distances of less than 100 miles – basically, an Uber for the skies. The next day, she’ll sit down with a business that’s building a device that captures a semi truck’s carbon emissions directly from the tailpipe, pumps it into a tank, then either buries it underground or sells the CO2 for use in products like soda.
Still other days might include huddles with firms that make rooftop solar panels, heat pump water heaters, even self-driving cars.
“Each of the clients that I work with, I get a chance to embed in their team,” McDermid said. “I get to jump around. And not only is the subject matter different, but the people are different and the vibe is different. I like that diversity.”
Those clients, in turn, value McDermid’s expertise, so much so that they’re willing to pay handsomely for it, in many cases while they’re still trying to get off the ground as a startup. The Cal State San Marcos alumna is the founding partner of Caliber Strategies, a Sacramento-based lobbying firm that helps energy and climate companies – whether sexy startups or stodgy utilities – navigate the regulatory maze that is the California policy arena.
In doing so, McDermid draws on almost two decades of experience in state politics and policymaking, going back to when she was a clean energy adviser to former Gov. Arnold Schwarzenegger in her early 20s, only a few years after graduating from CSUSM with a degree in biology.
“I founded this company because it’s really challenging to bring new technologies to market, especially in a place like California where the market rules are quite complex and there are all these different agencies doing different things,” McDermid said. “We focus exclusively on climate and energy, and primarily on what I refer to as disruptive technologies.”
Founded in 2013, Caliber now totals eight employees, and one of McDermid’s fellow partners is Michael Picker, former president of the California Public Utilities Commission (CPUC), the nonpartisan body charged with regulating the state’s utilities. The company has almost 50 clients, including investment management giant Blackstone, accounting firm KPMG and Sunrun, one of the nation’s biggest solar installers.
Sometimes Caliber’s clients take the form of a legacy company that’s opening a new product line. A.O. Smith Corporation, for example, has been around for 150 years and is one of the world’s leading manufacturers of water heaters and boilers, with annual sales of almost $4 billion. But as California increasingly moves toward the full electrification of all buildings, A.O. Smith is gravitating toward heat pumps, which heat water using electricity instead of gas.
Enter Caliber. The company worked with a team of nonprofit, industry and environmental organizations to help pass legislation to allocate about $44 million in incentives for heat pumps. Caliber then led an effort with this coalition and the CPUC to design an incentive program that would offer state residents payments of up to $7,300 for installing heat pumps.
Another category of clients is fledgling businesses with an innovative solution to a climate-related problem. Charm Industrial is a Bay Area startup with a mission to, as its website touts, “put oil back underground,” an elegantly simple description of the complex science involved in carbon capture and sequestration. Charm approached Caliber in its infancy, seeking to get introduced to the right people, increase its name recognition and create a market from scratch.
“It’s about streamlining the process, and even more so trying to educate regulators,” McDermid said. “We educate regulators and policymakers about what the needs of new technologies are. After the policymaker has already said, for example, we want electric cars and you have the market ready, there remain all these barriers that no one has figured out. So it’s a collaborative process to figure out how we get from where we are now to where we want to be.”
It was at CSUSM where McDermid discovered her twin passions for environmental science and public policy. Having initially enrolled at the university on a cross country and track and field scholarship (she competed for two years before injuries forced her to stop), she decided she wanted to pursue conservation biology and save the earth one planted tree at a time.
At some point in her college journey, however, it dawned on her that planting trees – even 10 to 20 acres worth – couldn’t compare with, say, protecting millions of acres through legislation. As a junior, McDermid spent the fall semester in Washington, D.C., as part of the Panetta Congressional Internship Program, and when she returned, she ran for and was elected president of Associated Students, Inc., for her senior year in 2004-05. She even started a progressive activist organization with some friends.
“CSUSM was this perfect testing ground to try out all these different things,” she said.
Using her student experience as a springboard, McDermid was accepted after graduation into the Capital Fellows Program, an initiative through Sacramento State that offers paid, full-time fellowships in each branch of California’s government. She was assigned to Gov. Schwarzenegger’s office for a year, followed by a year working in the office of First Lady Maria Shriver.
In 2008, McDermid got her big break when Susan Kennedy, still early in her tenure as Schwarzenegger’s chief of staff, acted on a recommendation to tap McDermid as her top deputy. Kennedy was seeking not an executive assistant but someone who could step into her high-pressure position when necessary and not miss a beat. In McDermid, she found a kindred spirit, essentially a younger version of herself.
“She was perfect,” Kennedy said. “She looked out at the landscape from the perspective of, if she were the chief of staff to the governor, how would you prepare for this? How would you brief him on this? What information do you need from the agencies or the departments or the senior staff?
“It’s a very tough role to step into, and she earned everyone’s respect because she was so good at what she did. She made me twice as good at what I was doing because she was as good as me.”
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