In a major win for rooftop solar owners in California, lawmakers amended the controversial residential solar bill, AB 942, to allow homeowners to continue accessing net metering agreements and climate credits even if they sell their homes.
According to pv magazine, the California Senate Energy, Utilities and Communications Committee voted 9-4 to retain contracts signed by solar owners in the event they sell or transfer their properties, which means they can continue to enjoy major savings on electric bills. The amendment also removed discriminatory language related to climate credits, which help fight the changing climate by reducing pollution released by companies and factories.
Before the amendment, the bill required new homeowners of properties with solar systems to switch to the current net-energy metering tariffs upon purchase, instead of being grandfathered into the previous homeowner's rate. It also would have ended net metering for some solar customers after 10 years.
The original bill was filed by Assemblymember Lisa Calderon, a former utility executive for 25 years with Southern California Edison, one of the nation's largest electric utility companies.
"AB 942 backers claim it is intended to lower energy rates, but it is actually designed to protect utility profits. The real reason electricity rates keep skyrocketing in California is out-of-control utility spending on transmission infrastructure," Brad Heavner, executive director of the California Solar and Storage Association, told pv magazine.
If the earlier draft of the policy had been approved, it would have increased energy bills for the average homeowner by around $63 per month, which could have affected its marketability to prospective buyers. The bill would have also reduced net metering payouts by around 80% for customers who were forced to switch to the new NEM tariff. Now that the policy has been updated, California homeowners will continue to benefit from lower energy bills thanks to their rooftop solar systems.
If you want to invest in your own system, EnergySage is a helpful service that offers free tools where you can compare quotes from reliable contractors and potentially save $10,000 in purchase and installation fees. You'll also be able to access a free mapping tool that shows the average cost of solar systems and available incentives on a state-by-state basis.
But if you want to take advantage of the tax breaks and rebates, make sure to act fast, as Congress has eliminated the 30% solar tax credits effective Dec. 31, per Solar Builder Magazine. So if you want to install a solar system and claim the savings, it's a good idea to start shopping around now to find an installer that fits your needs.
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Some homeowners end up paying close to nothing for electricity each month, so investing in solar could be a life-changing decision. And if you live in California and are thinking of selling your home, you can rest easy knowing you won't lose your net metering contract.
"The previously drafted version of the bill would have undermined consumer confidence, devalued home solar investments, and stalled progress toward California's clean energy goals," JD Dillon, chief marketing and customer experience officer at the solar company Tigo Energy, told pv magazine.
"The solar industry thrives when legislation supports innovation, consumer choice, and long-term resilience, not when it introduces unnecessary friction between emerging technologies and legacy power structures."
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