Tesla fights California law that could drive up solar costs


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In an announcement released in late December and reported by CNBC last Friday, electric vehicle and solar rooftop maker Tesla called on its employees to fight a new California proposal that could make residential rooftop solar power more expensive for many people. many owners.

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By law, residents using solar power would have to pay a grid connection fee based on the size of their system. The legislation would also reduce the payments that solar energy customers in California receive for the resale of their excess electricity to the grid.

In addition to free electricity and a more sustainable lifestyle, the ability to sell excess electricity back to the grid is one of the main draws of solar electricity for many consumers. By selling excess electricity, consumers can get net zero electricity bills or even receive cash from utility companies.

In a tweet from December 13, 2021, @WholeMarsBlog pointed out that if the new tax rate were set at $ 8 per kilowatt hour, as proposed, it could cost some Tesla solar rooftop owners up to $ 80 per month for a 10 kW system. Elon Musk replied on Twitter: “Penalizing sustainable energy makes no sense.”

The California Public Utilities Commission believes the proposal, titled Net Energy Metering 3.0, would help the state meet its “groundbreaking clean energy goals,” according to a press release issued by CPUC.

The legislation aims to encourage customers to install storage systems, such as Tesla’s solar battery, in conjunction with solar panels. The CUPC says the widespread use of on-site battery storage will help California reduce its reliance on fossil fuels between 6 p.m. and 9 p.m. when demand is high and the sun has started to set.

According to the CPUC, the tariffs collected from homeowners for connection to the grid will help maintain the California grid and fund “public utility programs.” An equity fund will be created, allocating $ 600 million to “increase the access of low-income people to clean distributed energy”.

The proposed decision will be on the agenda for the CPUC voting meeting on January 27, 2022.

In a concise announcement titled Net Energy Metering 3.0, transcribed by CNBC, Tesla summarized the legislation and pointed out that the proposal may change based on public comment. The announcement urged employees to take several steps to fight the legislation. The ad suggested that employees:

  • Submit a comment to the Office of Public Advisors
  • Offer a verbal comment at the CPUC public meeting on January 13, 2022
  • Join the Alliance for Solar Rights
  • Attend the Save Our Solar Rally – San Francisco at the CPUC Building or Los Angeles at Pershing Square on January 13 at 11 a.m.

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Tesla isn’t the only solar company opposing the legislation. In a previous report from CNBC.com, Sunrun Vice President of Public Policy Walker Wright said the proposal would “impose the highest discriminatory charges on solar energy and energy storage customers in the states. United, putting solar power and rooftop batteries out of reach for countless families. in California, just as more and more households are demanding that the state do more to combat climate change and provide them with reliable and sustainable energy.

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About the Author

Dawn Allcot is a full-time freelance writer and content marketer with an interest in finance, e-commerce, technology, and real estate. Its long list of publishing credits includes Bankrate, Lending Tree, and Chase Bank. She is the founder and owner of GeekTravelGuide.net, a travel, tech and entertainment website. She lives in Long Island, New York, with a veritable menagerie that includes 2 cats, an exuberant kitten and three lizards of different sizes and personalities, as well as her two children and her husband. Find her on Twitter, @DawnAllcot.

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