Did California Break the Law While Cutting Rooftop Solar Subsidies - CleanTechnica

California, long a leader in rooftop solar installations due to its net metering policy that credited solar panel owners at retail electricity rates, replaced this system with "Net Metering 3.0" on April 15, 2024. This change followed years of pressure from investor-owned utilities—Southern California Edison, Pacific Gas & Electric, and San Diego Gas & Electric—who argued that compensating solar owners at retail rates unfairly shifted costs to non-solar ratepayers. The new policy significantly reduced these subsidies. However, environmental groups including the Center for Biological Diversity, the Environmental Working Group, and the Protect Our Communities Foundation have sued the California Public Utilities Commission (CPUC), claiming it failed to consider the full range of financial and societal benefits of rooftop solar. These benefits include reduced grid infrastructure costs (such as transmission lines and substations), improved grid security and resiliency, health and climate advantages, and the use of existing rooftop space rather than new land. The plaintiffs argue that by