California Supreme Court Reviews Rooftop Solar Policy

The California Supreme Court is considering whether to overturn the 2022 California Public Utilities Commission (CPUC) decision that drastically reduced compensation for new rooftop solar customers sending surplus electricity to the grid. Environmental groups argue the CPUC violated state law by failing to fully account for rooftop solar's benefits and by hampering solar adoption in disadvantaged communities, which could threaten the state's carbon-free energy goals. The CPUC and state officials defend the move as necessary to address cost shifts that raise rates for non-solar, often low-income, customers. The new net metering rules, effective April 2023, cut reimbursement rates by up to 80%, contributing to significant solar industry job losses and company bankruptcies. Lawmakers are now also debating whether to reduce payments for existing, or legacy, solar customers. A Supreme Court decision is expected soon, with major implications for California's clean energy future.