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California updates proposal on solar incentives that reduces costs but pays less

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Summary

The California Public Utilities Commission has updated its proposal on solar incentives, removing a monthly grid tax that would have added to the cost of solar installations. The new proposal also reduces energy payouts back to the grid, called Net Energy Metering (NEM). Some industry groups have criticized the new proposal, saying it will make solar less affordable and delay the goal of 100 percent clean energy. The CPUC has said that the new proposal includes additional funding to support battery and solar systems, mostly for low-income customers. Voting on the proposal is set for December 15th.

Q&As

What was the original proposal by the California Public Utilities Commission (CPUC) regarding solar energy?
The original proposal by the CPUC was to charge a monthly fee of $8 per kilowatt to connect new solar customers to the grid.

How did industry groups respond to the CPUC's proposal?
Industry groups responded by saying that the proposal would end California's solar boom.

What changes has the CPUC made to its proposal in response to feedback?
The CPUC has removed the monthly grid fee from its proposal.

How might residential solar providers benefit from the new proposal?
Residential solar providers may benefit from the new proposal by working to get more energy storage systems out there.

What are the next steps for the CPUC's proposal?
The next steps for the CPUC's proposal are for voting to take place on December 15th and, if passed, for implementation to occur on April 15th, 2023.

AI Comments

👍 The CPUC is working to reform the previous proposal that made solar hard to afford for lower-income households.

👎 The CPUC is also planning to reduce energy payouts back to the grid, called Net Energy Metering (NEM).

AI Discussion

Me: The article is about a new proposal in California that would reduce the cost of solar installations, but would also reduce the amount of money that solar panel owners can get for selling energy back to the grid.

Friend: That doesn't sound very fair.

Me: I know. Some people are calling it a 'hidden tax.' What do you think about it?

Friend: I think it's unfair to solar panel owners, and it could discourage people from installing solar panels in the future.

Action items

Contact your state representatives and urge them to support solar incentives.
Install solar panels and/or a battery system in your home.
Stay up to date on the CPUC's proposal and provide feedback.

Technical terms

Solar incentives: financial incentives offered by the government or other organizations to encourage the use of solar energy.
Grid: the electrical power system that supplies electricity to an area.
Grid sell-back rates: the rate at which solar energy customers can sell excess energy back to the grid.
CPUC: the California Public Utilities Commission, a state agency that regulates investor-owned utilities in California.
NEM: Net Energy Metering, a system that allows solar energy customers to sell excess energy back to the grid.
CALSSA: the California Solar & Storage Association, a clean energy business group.
Sunrun: a residential solar provider.
Tesla Powerwalls: a type of battery system.