On May 30, 2024, the California Public Utilities Commission (CPUC) voted to approve a revised decision on the state’s community solar program that rejects the Net Value Billing Tariff (NVBT) that a coalition of solar industry groups, ratepayer advocates, labor unions, and environmental organizations supported. The decision modifies existing “Green Access Program” tariffs as supported by the state’s major investor-owned utilities.
The CPUC instead expanded eligibility for disadvantaged communities to access the Disadvantaged Community Green Tariff Program and created a new community renewable energy program structured to avoid cost increases for nonparticipating ratepayers.
The CPUC said the current Green Access Program tariff options do not meet all the evaluation goals described in AB 2316, but the agency finds it efficient to modify and streamline existing tariffs to better meet these goals.
The CPUC also found it beneficial to ratepayers to adopt a community renewable energy program by layering a customer subscription model and a non-ratepayer-funded adder onto identified standard supply-side tariffs and contract mechanisms that meet the requirements of AB 2316 (2022)
The rejected NVBT plan would have compensated solar projects based on the value of the energy they produced. Supporters said it could have enabled up to 8 gigawatts of community solar and battery projects in California.
The Public Advocates Office expressed support, stating the decision strikes a balance between equity, energy, and environmental goals while positioning California to leverage more than $250 million in federal Solar for All funding.