Webp rosshopper
Abigail Ross Hopper, president and CEO of the Solar Energy Industries Association | Solar Energy Industries Association website

Recent California Public Utilities Commission decisions are devastating the state’s solar industry

Energy

ORGANIZATIONS IN THIS STORY

The Solar Energy Industries Association (SEIA) has voiced its concerns over a series of decisions approved by the California Public Utilities Commission (CPUC), claiming that they are detrimental to the state's rooftop solar industry. Abigail Ross Hopper, SEIA’s president and CEO, has urged the commission to reconsider before these changes cause further damage.

As stated on the CPUC website, on Dec. 15, 2022, the commission adopted its new Net Energy Metering scheme, known as the Net Billing Tariff (NBT). This scheme only applies to ratepayers who submitted an interconnection application on or after April 15, 2023. The CPUC claims that this new scheme will "modernize rooftop solar and storage incentives" for homes in an effort to control costs for all customers and improve grid reliability. In mid-November, a similar scheme was approved for multitenant properties.

An article published by the Solar Rights Alliance, a non-profit association serving California’s solar users, explains that "multitenant properties" refers to those with multiple electric meters, including schools, farms and apartment buildings. The article asserts that the CPUC's decision has granted utilities full control over the energy produced from their rooftops. It states: "Going forward, schools that go solar, for example, have to buy their own solar energy back from the utility at full price."

In a press release issued by SEIA, Hopper claimed that the CPUC's decisions have drastically changed the landscape for rooftop solar in California and anticipates negative impacts on the industry. She predicts a 40% decline in the state’s residential solar market in 2024 and a 25% drop in the commercial rooftop sector from 2024 to 2025.

Hopper further elaborated on potential consequences in human terms: "This drop off means thousands of jobs will be lost and California will take a massive step back in its fight against climate change, which is already impacting communities across the state."

ORGANIZATIONS IN THIS STORY