NEM 3.0 in California: What it Means for Solar Across the Country

    Rooftop Solar in CA

    What is NEM 3.0?

    On January 27th, the California Public Utilities Commission (CPUC) will reach the deadline for their final decision on California’s new net metering laws. With tension building for years, this decision will not only have massive implications for the Solar Industry in California but also across the US as a whole. California has long been a national leader in the Solar Industry, and the passing of NEM 3.0’s proposed cuts to net metering would set a precedent for all other states, putting the national market for solar jobs at serious risk.


    What would these proposed changes do?

    The CPUC is currently considering certain proposed law changes including the addition of new monthly fees. If passed, homeowners would be charged $8 per kW of installed solar capacity, amounting to an average of $48 each month. Another change would shift the Net Metering rate to be reduced abruptly from 20-30 cents/kWh to around 5 cents/kWh. These policies which enable greater accessibility to PV technology help stimulate CA’s solar market and the national market as a whole; cutting them would cause a huge blow to solar growth.

    Analysis from CALSSA predicts the impacts of these changes to be devastating with a 30-40% immediate hit to the Distributed Generation Solar Industry in California and a 50% job loss. Experts warn these numbers are conservative estimates of the effect of the CPUC. 


    What can I do to help?

    With such a high-stakes threat looming near, the Solar Industry is reacting in a big way. On January 13th, two concurrent ‘Save Our Solar Jobs’ rallies in LA and San Francisco will demand the attention of Governor Gavin Newsom and the CPUC. Governor Newsom’s appointed officials on the CPUC need to understand the urgency of such a costly misstep. Solar leaders across the state are shutting their doors and showing up to make their voices heard. 

    To show our support, CED Greentech’s California locations will be either partially or fully closed on January 13th to encourage our staff and customers to join the rallies. We are enthusiastically willing to provide logistical tools and resources to any of our California contractor customers to help them attend the rally.

    Public feedback through the strong presence of this rally has the potential to majorly impact the CPUC’s final decision. Since the initial decision two months ago, two members have resigned or retired. Additionally, the reaction to the initial proposal has been so negative and the support from the California Solar Industry so strong that public pressure has started to grow. 

    If you can’t attend the rally or want to do as much as possible here are some helpful links. CALSSA has made it easy to email the Governor and let your opinion be heard. They also have created template language for promoting the rally on social media. If you have any questions or need additional information, contact your local location or sales rep today. 


    4 months 1 week ago
    Written by
    Windley Knowlton
    Support keywords
    Solar Industry
    Solar policy
    net metering
    State Legislation