{"id":291254,"date":"2023-12-14T11:59:07","date_gmt":"2023-12-14T10:59:07","guid":{"rendered":"https:\/\/climatescience.press\/?p=291254"},"modified":"2023-12-14T11:59:10","modified_gmt":"2023-12-14T10:59:10","slug":"the-california-sun-is-setting-on-exorbitant-rooftop-solar-subsidies","status":"publish","type":"post","link":"https:\/\/climatescience.press\/?p=291254","title":{"rendered":"The California Sun is Setting on Exorbitant Rooftop Solar Subsidies"},"content":{"rendered":"\n
\"\"<\/figure>\n\n\n\n

<\/p>\n\n\n\n

From Watts Up With That?<\/a><\/p>\n\n\n\n

Solar Net Energy Metering in California: From Rosy Inception to Rocky Realities<\/p>\n\n\n\n

California\u2019s journey with solar net energy metering (NEM) is a case study in the complexities of energy policy. What began as an ambitious drive to boost solar energy has evolved into a contentious battleground of policy shifts and market reactions. The recent developments, marked by job losses in the clean energy sector as reported by the Environmental Working Group (EWG), are a testament to these complexities.<\/p>\n\n\n\n

California initiated solar net energy metering in the 1990s to encourage solar adoption. Under NEM, solar users could sell surplus electricity back to the grid at retail rates, offsetting their electricity costs. This policy aimed to stimulate solar energy use, reducing reliance on traditional energy sources.<\/p>\n\n\n\n

The policy lead to a significant increase in solar installations. California\u2019s solar industry saw a surge in growth, heralded as a triumph of renewable energy policy, but saddling utilities and non-solar customers with an additional cost burden.<\/p>\n\n\n\n

As solar adoption grew, these concerns grew. Utilities argued that NEM shifted costs to non-solar customers, as maintaining the grid became increasingly funded by a shrinking base. These concerns led to policy revisions aimed at balancing the incentives for solar users with broader economic impacts.<\/p>\n\n\n\n

In recent years, California has seen further adjustments to its NEM policies. These include reducing the rates paid for excess solar power and introducing new charges for solar users. These changes were designed to address the cost shift to non-solar users and ensure the economic sustainability of the energy grid.<\/p>\n\n\n\n

These policy shifts have had a tangible impact on the solar market. The reduction in incentives has made solar installations less financially attractive, leading to a slowdown in new installations. This EWG report bemoans this downturn<\/a>, noting widespread job losses in the clean energy sector as generous subsidies are being removed.<\/p>\n\n\n\n

\"\"<\/a><\/figure>\n\n\n\n
\n

SAN FRANCISCO \u2013 California\u2019s once-thriving residential solar industry is in ruins after state officials slashed rooftop solar incentives, causing thousands of job losses, said clean energy advocates and solar industry representatives during a recent virtual briefing<\/a>.<\/p>\n\n\n\n

The incentives played a crucial role in outfitting solar panels on approximately 2 million homes, establishing the state as the leader in the clean energy revolution. But the California Public Utilities Commission, or CPUC, bowed to demands from Pacific Gas & Electric, Southern California Edison and San Diego Gas & Electric to roll back those incentives.<\/p>\n\n\n\n

https:\/\/www.ewg.org\/news-insights\/news-release\/2023\/12\/california-clean-energy-industry-rocked-widespread-jobs-losses<\/a><\/p>\n<\/blockquote>\n\n\n\n

The policy changes, essentially attempting to distribute costs fairly across consumers, appear to have dampened the growth of the solar sector, a critical component of California\u2019s renewable energy strategy.<\/p>\n\n\n\n

\n

That decision has now led to the loss of over 17,000 solar jobs in California, says a\u00a0new analysis by the California Solar and Storage Association<\/a>, or CALSSA, discussed during the briefing. Many more layoffs and bankruptcies are likely by the end of the year and beyond.\u00a0<\/p>\n\n\n\n

https:\/\/www.ewg.org\/news-insights\/news-release\/2023\/12\/california-clean-energy-industry-rocked-widespread-jobs-losses<\/a><\/p>\n<\/blockquote>\n\n\n\n

Critics of the recent policy changes argue that California is undermining its own renewable energy goals. They contend that the state is backtracking on its commitment to clean energy by making solar less accessible and attractive. This perspective ignores the increasing costs to consumers of NEM subsidies.<\/p>\n\n\n\n

\n

\u201cThe volume [of solar installations] has dropped by 80 to 90 percent of the volume of activity, the volume of interest,\u201d said Beccar. \u201cBecause it just doesn\u2019t make any sense for a homeowner who goes solar and does it overwhelmingly to save money.\u201d<\/p>\n\n\n\n

Speakers during the briefing strongly condemned the CPUC for acquiescing to the monopoly utilities\u2019 demands to eliminate their only source of competition: families with rooftop solar.<\/p>\n\n\n\n

They made clear their ire toward state lawmakers and Gov. Gavin Newsom for permitting such actions to happen in a state that, until a few months ago, had been the unmatched leader in advancing clean energy and climate policy. In particular, they blamed Newsom and the CPUC for the decision.<\/p>\n\n\n\n

https:\/\/www.ewg.org\/news-insights\/news-release\/2023\/12\/california-clean-energy-industry-rocked-widespread-jobs-losses<\/a><\/p>\n<\/blockquote>\n\n\n\n

California\u2019s experience with solar net energy metering is instructive. Initial policies fueled rapid growth in solar adoption, with accompanying rises in electricity rates, subsequent adjustments in response to economic and infrastructural challenges have led to a cooling of the market. The state now faces the reality of fostering renewable energy with excess subsidies, while finally having to balance economics, and grid stability. This situation serves as a reminder that energy policy is a complex ecosystem, where changes can have far-reaching and sometimes unintended consequences, and the road to hell is usually paved with good intentions.<\/p>\n\n\n\n

H\/T Steve R<\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

California\u2019s journey with solar net energy metering (NEM) is a case study in the complexities of energy policy. What began as an ambitious drive to boost solar energy has evolved into a contentious battleground of policy shifts and market reactions. <\/p>\n","protected":false},"author":121246920,"featured_media":291257,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_coblocks_attr":"","_coblocks_dimensions":"","_coblocks_responsive_height":"","_coblocks_accordion_ie_support":"","_crdt_document":"","advanced_seo_description":"","jetpack_seo_html_title":"","jetpack_seo_noindex":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"California\u2019s journey with solar net energy metering (NEM) is a case study in the complexities of energy policy. What began as an ambitious drive to boost solar energy has evolved into a contentious battleground of policy shifts and market reactions. ","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[1],"tags":[691825318,691825319,691819094,691825317],"class_list":{"0":"post-291254","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","6":"hentry","7":"category-uncategorized","8":"tag-california-sun","9":"tag-ewg-report","10":"tag-renewable-green-energy","11":"tag-rooftop-solar-subsidies","13":"fallback-thumbnail"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/12\/0OCR-L-SOLAR-0724.webp?fit=1024%2C726&ssl=1","jetpack_likes_enabled":true,"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/paxLW1-1dLE","jetpack-related-posts":[{"id":379557,"url":"https:\/\/climatescience.press\/?p=379557","url_meta":{"origin":291254,"position":0},"title":"Why \u201ccheaper\u201d solar raises costs. Part II: The hidden costs of residential solar","author":"uwe.roland.gross","date":"23\/05\/2025","format":false,"excerpt":"In Part 1, we showed how wind and solar\u2019s low costs over 80% of the time are overwhelmed by expenses at peak times such that they offer no cost advantages to the generation mix. Residential solar follows a similar pattern: it seems affordable for homeowners but raises system costs through\u2026","rel":"","context":"In \"California\"","block_context":{"text":"California","link":"https:\/\/climatescience.press\/?tag=california"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2025\/05\/0ChatGPT-Image-23.-Mai-2025-10_12_49.png?fit=800%2C1200&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2025\/05\/0ChatGPT-Image-23.-Mai-2025-10_12_49.png?fit=800%2C1200&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2025\/05\/0ChatGPT-Image-23.-Mai-2025-10_12_49.png?fit=800%2C1200&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2025\/05\/0ChatGPT-Image-23.-Mai-2025-10_12_49.png?fit=800%2C1200&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":423321,"url":"https:\/\/climatescience.press\/?p=423321","url_meta":{"origin":291254,"position":1},"title":"Are Green Energy Subsidies Driving California\u2019s Plan to Expropriate the Wealthy?","author":"uwe.roland.gross","date":"26\/01\/2026","format":false,"excerpt":"Soaring energy bills, a political crisis, and an insane plan to expropriate wealth creators who drive the Californian Economy.","rel":"","context":"In \"billionaire tax\"","block_context":{"text":"billionaire tax","link":"https:\/\/climatescience.press\/?tag=billionaire-tax"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2026\/01\/0Screenshot-2026-01-26-200506.png?fit=1200%2C854&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2026\/01\/0Screenshot-2026-01-26-200506.png?fit=1200%2C854&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2026\/01\/0Screenshot-2026-01-26-200506.png?fit=1200%2C854&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2026\/01\/0Screenshot-2026-01-26-200506.png?fit=1200%2C854&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2026\/01\/0Screenshot-2026-01-26-200506.png?fit=1200%2C854&ssl=1&resize=1050%2C600 3x"},"classes":[]},{"id":245437,"url":"https:\/\/climatescience.press\/?p=245437","url_meta":{"origin":291254,"position":2},"title":"Green Energy \u2014 The greatest transfer of wealth to the rich in history","author":"uwe.roland.gross","date":"25\/02\/2023","format":false,"excerpt":"We are in the midst of history\u2019s greatest wealth transfer. Government subsidized support for wind systems, solar arrays, and electric vehicles overwhelmingly benefits the wealthy members of society and rich nations.","rel":"","context":"Similar post","block_context":{"text":"Similar post","link":""},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/02\/image-756.png?fit=990%2C660&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/02\/image-756.png?fit=990%2C660&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/02\/image-756.png?fit=990%2C660&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/02\/image-756.png?fit=990%2C660&ssl=1&resize=700%2C400 2x"},"classes":[]},{"id":277585,"url":"https:\/\/climatescience.press\/?p=277585","url_meta":{"origin":291254,"position":3},"title":"Following California\u2019s Renewable Energy Lead Guarantees Rocketing Power Prices &\u00a0Blackouts","author":"uwe.roland.gross","date":"06\/09\/2023","format":false,"excerpt":"In their sillier moments, the wind and sun cult point to places like California or Germany as prime examples of energy Nirvana. Then come the facts. California and Germany have most certainly led the charge in backing heavily subsidised and chaotically intermittent wind and solar, but they\u2019ve also led the\u2026","rel":"","context":"In \"Blackouts\"","block_context":{"text":"Blackouts","link":"https:\/\/climatescience.press\/?tag=blackouts"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/09\/image-218.png?fit=1200%2C797&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/09\/image-218.png?fit=1200%2C797&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/09\/image-218.png?fit=1200%2C797&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/09\/image-218.png?fit=1200%2C797&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/09\/image-218.png?fit=1200%2C797&ssl=1&resize=1050%2C600 3x"},"classes":[]},{"id":244972,"url":"https:\/\/climatescience.press\/?p=244972","url_meta":{"origin":291254,"position":4},"title":"Green Energy: Greatest Wealth Transfer to the Rich in History","author":"uwe.roland.gross","date":"22\/02\/2023","format":false,"excerpt":"We are in the midst of history\u2019s greatest wealth transfer. Government subsidized wind systems, solar arrays, and electric vehicles overwhelmingly benefit the wealthy members of society and rich nations.","rel":"","context":"Similar post","block_context":{"text":"Similar post","link":""},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/02\/image-625.png?fit=1200%2C675&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/02\/image-625.png?fit=1200%2C675&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/02\/image-625.png?fit=1200%2C675&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/02\/image-625.png?fit=1200%2C675&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2023\/02\/image-625.png?fit=1200%2C675&ssl=1&resize=1050%2C600 3x"},"classes":[]},{"id":312961,"url":"https:\/\/climatescience.press\/?p=312961","url_meta":{"origin":291254,"position":5},"title":"California\u2019s Electricity Disaster In Seven Charts","author":"uwe.roland.gross","date":"25\/03\/2024","format":false,"excerpt":"Residential electricity prices jumped nearly 12% in 2023 and they are going higher. But the carbon intensity of power generation isn\u2019t falling and low-income ratepayers are subsidizing the rich.","rel":"","context":"In \"California\"","block_context":{"text":"California","link":"https:\/\/climatescience.press\/?tag=california"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2024\/03\/006155a4e-4cc7-4b14-9e24-9c7466175282_2216x1242.jpg?fit=1200%2C673&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2024\/03\/006155a4e-4cc7-4b14-9e24-9c7466175282_2216x1242.jpg?fit=1200%2C673&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2024\/03\/006155a4e-4cc7-4b14-9e24-9c7466175282_2216x1242.jpg?fit=1200%2C673&ssl=1&resize=525%2C300 1.5x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2024\/03\/006155a4e-4cc7-4b14-9e24-9c7466175282_2216x1242.jpg?fit=1200%2C673&ssl=1&resize=700%2C400 2x, https:\/\/i0.wp.com\/climatescience.press\/wp-content\/uploads\/2024\/03\/006155a4e-4cc7-4b14-9e24-9c7466175282_2216x1242.jpg?fit=1200%2C673&ssl=1&resize=1050%2C600 3x"},"classes":[]}],"_links":{"self":[{"href":"https:\/\/climatescience.press\/index.php?rest_route=\/wp\/v2\/posts\/291254","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/climatescience.press\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/climatescience.press\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/climatescience.press\/index.php?rest_route=\/wp\/v2\/users\/121246920"}],"replies":[{"embeddable":true,"href":"https:\/\/climatescience.press\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=291254"}],"version-history":[{"count":4,"href":"https:\/\/climatescience.press\/index.php?rest_route=\/wp\/v2\/posts\/291254\/revisions"}],"predecessor-version":[{"id":291259,"href":"https:\/\/climatescience.press\/index.php?rest_route=\/wp\/v2\/posts\/291254\/revisions\/291259"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/climatescience.press\/index.php?rest_route=\/wp\/v2\/media\/291257"}],"wp:attachment":[{"href":"https:\/\/climatescience.press\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=291254"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/climatescience.press\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=291254"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/climatescience.press\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=291254"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}