Sacramento — Today is the deadline for parties to respond to the latest round of questions from the California Public Utilities Commission’s (CPUC) in its proceeding to reform the state’s rooftop solar program, Net Energy Metering (NEM). 

It has been more than ten years since the legislature mandated the CPUC to fix the cost burden on non-solar customers (AB 327), and it’s been 179 days since the CPUC released proposed reforms.

Below is a statement that can be attributed to Kathy Fairbanks, spokeswoman, Affordable Clean Energy for All, a coalition of more than 120 groups including seniors, consumers, community, environmental and business groups.

“The 90% of Californians who don’t have or can’t afford rooftop solar are subsidizing bill discounts for the 10% of Californians who do.  And the continued failure to make any meaningful updates to this 25-year-old program has resulted in rooftop solar being the most expensive form of clean energy available.

“Currently, customer rates are 10-20 percent higher than they would be without NEM and, without reform, the impact on bills is projected to grow to 30 percent by 2030. NEM reform is necessary to stop the growth in cost shift and keep bills more affordable for the 90 percent of Californians who do not have solar.

“Enough already. The facts, the CPUC’s own studies, studies of third parties, and the overall record in this proceeding clearly validate the urgent need for NEM reform that stops the cost shift on non-solar customers and better aligns subsidies with the actual cost of clean energy today.”  

Among the data and key findings that validate the urgency for reform:

• The CPUC’s recent SB 695 report on affordability identified NEM as one of “three critical and overlapping policy fronts” that “must be managed to address the risk that high electric rates and bills could slow California’s overall progress toward its electrification and climate goals, and harm some of the state’s most economically vulnerable residents.”
• University of California energy expert validates that NEM disproportionately benefits the wealthy.
• The CPUC’s own analysis in this proceeding validates the cost of NEM significantly exceeds the benefits of the program and raises rates.