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CPUC’s NVBT proposal faces backlash for conflicting with federal law, jeopardizing community solar expansion in California.

California Public Utilities Commission (CPUC) has proposed a policy proposal to expand the Net Value Billing Tariff (NVBT) in California, which it found conflicts with federal law and does not meet requirements of AB 2316. The proposal was supported by a coalition of environmental justice groups, ratepayer advocates, labour, and the building industry association. The CCSA stated that similar programmes have already deployed over 6.6GW of community solar capacity in the US, while the proposed California programme estimated an 8GW deployment under existing infrastructure without the need to upgrade the grid. The Solar Energy Industries Association (SEIA) criticised the decision, stating it could harm California’s efforts to provide community solar to low-income Californians and support grid resilience for all ratepayers. The decision comes as the US Department of Energy has called for the solar industry to triple the installed capacity of the community solar by 2025.

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