Net metering has been one of the most effective tools for expanding rooftop solar in California. Under NEM 2.0, homeowners could pay off solar systems in roughly 10 years by selling excess electricity back to the grid at favorable rates. The credits were worth more, rolled over month to month, and made solar a genuinely attractive investment.
California's CPUC approved NEM 3.0 in early 2023 despite massive public opposition. The new rules dramatically reduce the value of exported solar energy, extending payback periods to 15 years or more for most homeowners. The policy effectively transfers value from distributed solar producers to investor-owned utilities.
On the Central Coast, the economic case for residential solar has weakened significantly under the new rules, but commercial and battery-paired systems can still be compelling. We're tracking local advocacy efforts and connecting residents with educational resources.