A vote is predicted mid-December on a regulatory change that would severely dampen the worth of recent residential rooftop photo voltaic installations in California.
From pv magazine USA
The California Public Utilities Fee (CPUC) is predicted to vote on the Web Vitality Metering (NEM) 3.0 proposal in mid-December. It may change the construction of web metering and decrease export charges by as a lot as 76%.
Web metering is a course of below which utilities pay rooftop photo voltaic house owners to export electrical energy again to the grid. The photo voltaic array produces further electrical energy in the course of the day and in sunnier instances of the 12 months, so {that a} credit score carries on the utility invoice to cowl the instances when photo voltaic manufacturing just isn’t protecting electrical energy utilization. Web metering helps rooftop photo voltaic house owners get a return on their funding, and the surplus power despatched by the system helps utilities steadiness the grid and meet demand.
At present, common net-metering charges vary from $0.23/kWh to $0.35/kWh, and the brand new proposed resolution cuts these charges to a mean of $0.05/kWh to $0.08/kWh. That is set to be the biggest drop in export charges in US historical past.
Present NEM 1.0 and a pair of.0 prospects are grandfathered into their charges for 20 years, as are those that obtain grid-interconnection approval from the utility earlier than 3.0 is enacted, ought to it undergo within the vote. If enacted, the ultimate date by which interconnection approval could be wanted to achieve NEM 2.0 charges could be April 15, 2023.
“If handed as is, the CPUC’s proposal would defend utility monopolies and increase their earnings, whereas making photo voltaic much less inexpensive and delaying the purpose of 100% clear power,” mentioned Bernadette Del Chiaro, govt director of the California Photo voltaic and Storage Affiliation (CALSSA).
There are a number of case research throughout the nation which have proven photo voltaic adoption falls sharply following such a regulatory resolution. In California, the Imperial Irrigation District deserted web metering in July 2016, inflicting residential photo voltaic installations to say no by 88%. Additionally in 2016, Nevada made a minimize to net-metering compensation resulted in a 47% discount in residential photo voltaic installations over the subsequent 12 months, mentioned CALSSA. This led to a 2017 legislative session that restored web metering, which drove a rise in photo voltaic adoption.
“At a time when California wants rooftop photo voltaic to flourish, it’s dangerous to chop a key incentive with out having a viable different in place. California’s decision-makers have to make rooftop photo voltaic as inexpensive and accessible as doable so that each family with photo voltaic potential can realistically make the selection to go photo voltaic,” mentioned Laura Deehan, state director of Atmosphere California.
The CPUC discovered that California should triple the quantity of native, distributed photo voltaic to achieve the clear power mandate laid out by the state’s Senate Invoice 100. CALSSA mentioned rooftop photo voltaic will save California ratepayers $120 billion by 2050, or $300 per particular person per 12 months.
Abigal Ross Hopper, the president and CEO of the Photo voltaic Vitality Industries Affiliation (SEIA), mentioned that the choice needs to be altered to “guarantee a extra gradual transition to web billing.”
With the upcoming CPUC vote, there may be nonetheless time to voice opinion on the rulemaking process. Go to savecaliforniasolar.org to study extra.