A committee in the California State Assembly has passed a bill that could strip a solar project owner’s net-metering compensation when a property is transferred. The Assembly Appropriations Committee has passed Assembly Bill 942, drafted by Assemblymember Lisa Calderon (D), that in its latest iteration would sever an existing net-metering agreement with a utility if that property was sold to another party.
“The 20-year net metering terms, which every solar user signs, are attached to the solar system — not the property owner. Undermining these agreements when a home is sold or transferred strips away the value of solar investments for middle- and working-class Californians, while setting a dangerous precedent that California’s clean energy commitments cannot be trusted,” said Brad Heavner, executive director of the California Solar & Storage Association (CALSSA) in a press release.
Under current California utility language, solar projects are transferred to the new property owner within its existing net metering contract terms. AB 942 was amended earlier this month, removing language from a previous draft that would have reduced net metering compensation periods from 20 to 10 years. Through AB 942, if a property bearing solar is transferred to another owner, that net metering agreement would be updated to NEM 3.0, the current net billing tariff which drastically altered compensation for solar energy fed into the grid.
A coalition of more than 100 advocacy groups have petitioned for the removal of AB 942, and CALSSA is joined by several other state groups opposing the bill.
“The utility story that solar customers are all wealthy and save too much money is false. Solar is predominantly adopted by working class customers seeking to stabilize utility costs. Customers sign long term leases to achieve savings over time, and should not be thrown under the bus after having trusted what the state has until now called a ‘guarantee’ of consistent policy,” Heavner said.
After passing through the Assembly Appropriations Committee, the bill will appear again on the California State Assembly floor for further deliberation this coming Tuesday.
This bill is another utility companies effort to squash the rooftop solar industry.
The utilities have gathered the IBEW to fight a bill the unions don’t even understand.
With all that is going on at the federal level, the state of California should be embracing rooftop solar, not killing it. Wake up California legislators! The lies regarding the cost shift marketing paid for by the IOU’s need to be stopped!
Talking points are that it will lower costs to those without solar. WTH! The people with no solar didn’t fork out 20k + for solar. I paid my electricity UP FRONT, and now I am being asked to fund those that don’t have solar?
AB942 will be a disaster if it passes. There is a rally in Sacramento at the capitol next Tuesday May 27 at 12:30 to voice our opposition details here http://www.solarights.org The author of the bill is a former Edison lobbyist. Gov Newsom is loosing support fast by backing the utilities over consumer protections and fair access to rooftop solar.
“Through AB 942, if a property bearing solar is transferred to another owner, that net metering agreement would be updated to NEM 3.0, the current net billing tariff which drastically altered compensation for solar energy fed into the grid.”
That’s the narrative du jour, yet in California there are three major IOU companies PG&E, SCE and SDG&E, others have already weighed in from 2010 on, it was found a “non-IOU electric company” didn’t have to follow the PPA guidance “rules”, IID in the Cochella Valley, abrogated net metering 1:1 PPAs in mid install of Solar PV systems about 2010 to 2012. It was up in the air, if an old PPA with IID would be “renegotiated” when the home was sold or honored for the full 20 years at a 1:1 credit.
NEM 3.0 is actually NOT Net Energy Metering , but foisting Net Energy Billing at the wholesale electricity rate credit assigned to any excess energy pushed back onto the grid during the day. Basically “thanks” to AB 942 if or when it passes all of those 25 year old systems to todays newer systems installed (under NEM 3.0) will be abrogated to Net Billing at the wholesale electricity rate for credits when the home is sold. California’s Energy (program) started out as a “hip” alternative energy proposition, to a slow train wreck at NEM 2.0 to a dumpster fire in NEM 3.0 and is now on the path to a full on Palasades “Wildfire” with high wind driven “devil rain”, to burn down what has been built as an energy policy in California since 1979.
I submit the power struggle right now will push a codicil to AB 942 to go from NEM 3.0 to NEB (Net Energy Billing) pushing the {unbundled} wholesale electric rate as the excess energy credit allowed in the AB 942 NEB 1.0. THIS will flood across the U.S. as court lawsuits and individual State Assembly Bills to abrogate NEM for NEB countrywide.
If this bill passes California should be sued! Also I believe I read that Lisa Calderon has a connection with PG&E & or SCE. If so this bill is in conflict of interest. California sucks with democrats in the legislature i hope comycalifornia goes RED in 2026