Assembly Committee Eases Bill to Reduce Rooftop Solar Incentives

An Assembly committee in California has decided to revise a proposed bill that could impact millions of rooftop solar owners. The bill, Assembly Bill 942, introduced by Assemblywoman Lisa Calderon, aimed to end solar credits for homeowners who installed solar panels before April 15, 2025.

Originally, the bill proposed to cut the benefits of the current solar credit program from 20 years to just 10 years. However, the committee removed this provision after hearing strong opposition. Now, the bill will only affect those who sell their homes, potentially canceling the solar credit program for them.

The committee voted 10 to 5 in favor of the amended bill, which will now move to the Assembly Appropriations Committee. Many rooftop solar owners attended the hearing, expressing their concerns. They argued that even the amended bill would decrease their home values. One homeowner, Dwight James, shared that he recently listed his home for sale and felt betrayed by the state for changing the rules after he invested in solar panels.

Calderon, a former executive at Southern California Edison, stated that the bill was necessary because the financial credits given to solar owners are driving up electric bills for those without solar panels. The bill has garnered support from major utility companies and labor unions, who argue that the current system unfairly burdens non-solar customers.

Despite the support, the bill has faced significant backlash. Many solar owners, schools, and environmental groups argue that the proposed changes are unfair and could lead to legal challenges. Schools, including districts like Los Angeles Unified and San Diego Unified, have voiced their opposition, stating that they made investments in solar energy based on the state’s promises.

Some committee members noted that they received an overwhelming number of calls and emails from concerned solar customers, indicating strong public sentiment against the bill. Assemblywoman Pilar Schiavo mentioned that the opposition she encountered was much greater than for any other bill she had seen.

The bill’s supporters claim it addresses fairness and equity, suggesting that the current credits shift costs to those who do not own solar panels, which can disproportionately affect low-income households. However, critics argue that many solar owners come from diverse income levels, and the proposed changes may not lead to lower electric bills for non-solar customers.

As the bill moves forward, it remains a contentious issue, reflecting the ongoing debate over energy policy in California and the balance between supporting renewable energy and ensuring fair costs for all consumers.

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