SACRAMENTO, California — The California Public Utilities Commission on Monday proposed rejecting a solar industry-backed proposal to allow renters to buy credits in small solar projects.
Solar industry groups, ratepayer advocates and some environmental groups had pitched the proposal as a way to give renters access to the savings that people get from rooftop solar panels. Monday’s proposed decision found that the small generators that would have sold the credits are too different from rooftop solar owners to qualify for similar reimbursements. The agency offered a potential alternative that closely aligns with one introduced by utility Southern California Edison.
The incentives California offers for small-scale solar power are increasingly controversial as Democratic lawmakers press the CPUC to make solar more attractive for more people. Lawmakers have accused the CPUC of overstepping its authority with decisions that have negatively affected the rooftop solar market and have introduced a bill that would force the agency to revisit a 2022 decision that reduced reimbursements.
The CPUC has been weighing a proposal to create a community solar program since 2020. In 2022, the Legislature passed Assemblymember Chris Ward’s AB 2316, which ordered the agency to review the state’s incentives for renewable energy and to create a new community renewable energy program if needed.
