12/16/2021
ATTN: The Most Important Thing you do today | PG&E NEM3 next steps
The NEM3 Proposed Decision is out and it’s really bad. It’s not even really a starting point that we can negotiate on. We need to open the floodgates and get a huge squad of solar workers into the CPUC public meeting on Dec 16th- Please get this to everyone you know…customers, family, friends, etc. This will be the first time that the CPUC has to face the public after issuing this decision, and we need to make sure they here it from us. If this PD stands, it will be a disaster for CA solar.
To be clear, we expected it to be bad. But it’s actually even worse than we thought. This is not final, this is preliminary, but it’s a big step in the wrong direction. Some lowlights:
-$8/kW/month fixed fee for Resi. Only Wyoming and Alabama charge more. No fixed fees for commercial, BUT
-Export rate of on average about $.05/kWh – for both resi and commercial, with no glidepath
-A Small “Market Transition Credit” over 4 years of about $1 per kW as a “glidepath”, which means just a slightly lower fixed fee, which just doesn’t do anything to help and is window dressing
-Retroactive changes to NEM1-2 customers – they get kicked off after 15 years instead of 20 and transitioned to the new NEM3 rate
-Nothing for new homes – they are left out of even the modest glidepath on fixed charges that they proposed, and no comment on the 2 step interconnection process at all
First look is that both resi and commercial payback periods roughly double – there were some new concepts and elements in there and a lot of difference by customer class and by utility, so we are analyzing and will have more in-depth looks like the days ahead. I know you will have a lot of specific questions, we are working on analysis and communicating all of that, but just remember that this is just the first step – we always expected it to be bad, it’s just worse than we thought, and means we have to be even more urgent in our advocacy.
As written, the proposal would end grandfathering for NEM2 customers (still based on interconnection application, with no clear indication of how they will treat resi and new homes) 120 days after the final decision, currently slated for Jan 27. So that means as it stands, May 27 would be the cutoff to get people grandfathered into NEM2. There’s some very light equity things that they sort of threw in as an afterthought, and essentially they are saying we need some more money for low income solar but we will figure it out later.
The NEM3 Proposed Decision is out and it is very damaging to the solar industry. It gives the utilities almost everything they wanted, and would slow down rooftop solar and storage at a time when we need to be accelerating it . We need to open the floodgates and get a huge turnout of solar workers into the CPUC public meeting on Dec 16th.This will be the first time they have to face the public after issuing this terrible decision, and we need them to hear what we think about it.
Steps for giving a public comment at the CPUC meeting:
RSVP HERE.
The next one is on Dec 16th, 10 am Pacific– put in on your calendar.
It is best to dial in 15-20min before 10am to get at the front of the queue for creating a public comment.
Call the CPUC's phone line at 1-800-857-1917, passcode 9899501 #. Press *1 when prompted by operator to join the queue. You will be asked to state your name and/or organization and then will not hear from the operator again until it is your turn to speak – so just have it on in the background while you do other things.
Comments may not exceed 1 minute. It is strongly suggested to practice out loud what you plan to say before the meeting begins.
You may watch the meeting simultaneously at www.adminmonitor.com/ca/cpuc, but you must call in with a phone to make the public comment.
If you experience difficulty calling into the Public Comment line, please send an email to [email protected] or call (415) 703-5263.
Things to emphasize:
Your name, where you live, and your interest in solar.
The request. Clearly state that you want the CPUC to:
· Reject this horrible proposed decision as it would drastically slow rooftop solar in CA.
· Protect thousands of solar jobs across California.
In your own words, let them know why this proposed decision is so bad. Here are some examples
The highest penalty charges on residential solar customers in the country – only Wyoming and Alabama are similar
Retroactively changing the deal on existing customers (NEM1 and NEM2 customers lose grandfathering 5 years earlier than promised….by CPUC)
Slashes the savings by 88% to the kWh export rate for both residential and commercial, with no glidepath at all for the industry to adjust- this would all start in 2023
No clear 2 step process for residential grandfathering – they say “interconnection application” but we need that to include new construction and Resi jobs with a long lead time
Some talking points that other advocates have used before
Power outages. Local rooftop solar and battery storage is the best and proven way for people to protect themselves from power outages. This is especially important for people with disabilities, medical issues, and those whose budgets are devastated when a week's worth of groceries spoils.
Promoting local solar creates jobs. Rooftop solar and battery storage projects are one of the best "shovel-ready" job creators out there. Rooftop solar offers lots of local jobs in every community that cannot be outsourced.
Promoting local solar saves all ratepayers money whether or not they have solar. Rooftop solar reduces the cost of long-distance power lines, and can save every ratepayer $300/year for the next thirty years if we keep it growing.
Climate change. California will not meet its climate change goals if we back off from rooftop solar. The state itself says we need to triple the amount of solar to get off fossil fuels - both large scale and rooftop solar. We cannot slow down rooftop like this
Some other resources to check out are the Save California Solar website Again, thank you so much for your help with gathering speakers.
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