California’s solar power sector has seen impressive growth over the last decade, with utility-scale, commercial, and residential solar installations all thriving.
However, utility companies have been actively working to sideline distributed solar energy. After achieving considerable success in restricting residential solar through Net Metering 3.0, they have now turned their attention to stifling the growth of community solar through the California Public Utilities Commission (CPUC).
CPUC Decision Undermines Community Solar
In a recent move, the CPUC approved a decision that effectively dismantles the possibility of a successful community solar program in California. The Solar Energy Industries Association (SEIA) criticizes this decision, arguing that it shuts out a vast majority of low-income Californians, renters, and others who are unable to install solar panels on their own properties from participating in the clean energy transition.
California Lags Behind in Community Solar
Despite its overall success in solar energy, California has fallen behind in community solar adoption. The state has only installed 163 MW of community solar, a stark contrast to the 2,000 MW in New York and 1,100 MW in Massachusetts. A recent CPUC vote presented an opportunity for California to catch up, but instead, the commission chose to impose stringent requirements that will severely limit the growth of new projects.
A History of Obstruction
The road to community solar in California has been riddled with obstacles. The CPUC opposed the Community Renewable Energy Act (AB 2316), arguing that its Net Value Billing Tariff conflicted with federal law – a claim disputed by the Coalition for Community Solar Access (CCSA). The CPUC’s revised decision acknowledges the need for guidance on establishing a successful community solar program, yet it lacks crucial details and direction on how to implement it.
Industry Outcry and the Need for Change
The solar industry is deeply dissatisfied with the CPUC’s actions. Industry leaders argue that the decision prioritizes the financial interests of utilities over the state’s climate goals and the needs of low-income residents. The Coalition for Community Solar Access (CCSA) further highlights that this decision solidifies California’s position near the bottom of community solar markets nationwide.
The industry is urging Governor Newsom and state leaders to intervene and redirect the CPUC to adopt policies that truly promote clean energy progress and affordable electricity for all Californians. It’s time for California to prioritize equitable access to solar energy and lead the way in community solar development.