CALSSA Statement on CPUC’s Vote to Exclude Schools, Farms, Apartments, and Businesses from the Benefits of Solar

“It is astonishing how intent the CPUC is on continuing to block the growth of solar at the expense of consumers and our state clean energy goals for the benefit of big utilities like PG&E.” 

The California Public Utilities Commission (CPUC) voted today to approve changes to the Virtual Net Energy Metering (VNEM) and Net Energy Metering Aggregation (NEMA) programs that will make solar much less affordable for many types of consumers.

For properties with multiple electric meters like schools, farms, apartments, and small businesses in strip malls, going solar through the VNEM or NEMA programs will no longer be financially viable, which bring the benefits of going solar to consumers who otherwise would not benefit from Net Energy Metering (NEM), the program that makes solar more affordable by crediting consumers with solar systems for the excess energy they produce and share back with the energy grid. 

With this vote, the CPUC is denying schools, small businesses, apartment buildings, and farms the ability to use the solar energy they produce on-site, and instead forcing them to buy their own solar back from the utility at full retail prices. The changes eliminate a major incentive to go solar at a time when we need to ramp up solar installations.

“It is astonishing how intent the CPUC is on continuing to block the growth of solar at the expense of consumers and our state clean energy goals for the benefit of big utilities like PG&E.,” said CALSSA Executive Director Bernadette Del Chiaro. “Not only is California nowhere near the renewable energy capacity we need, the solar industry is already experiencing a loss of solar jobs and small business closures from the CPUC’s attack on solar for single-family homes last year. This decision is yet another loss for consumers and another step backwards for California’s clean energy goals and fight against climate change—the only winners here are big utilities and their shareholders. The CPUC and policymakers need to stop undermining and meddling with the successful policies that made California a solar state in the first place and get back to promoting true solutions for consumers and the planet.”

Before the vote, the CPUC’s proposal was revised to allow net metering for residential meters in apartment complexes. However, the economic incentives for building owners to install solar for the building is still lost as meters in common and shared areas like hallways, gyms, outdoor areas, and EV charging stations will not be able to participate. If building owners are not motivated to install solar in the complex, individual tenants cannot benefit from solar either. 

Solar advocates are urging Governor Newsom and other leaders to find ways to repair the damage done by the CPUC in order to keep solar growing, save green jobs, and help California get back on track with the state’s clean energy goals.