California state assembly member introduces bill to repeal NEM 3.0

Facebook
Twitter
LinkedIn
Reddit
Email
The bill aims to require the CPUC to create a new rule structure based on the landmark clean energy goals set by Senate Bill 100. Image: REC Solar.

A member of the California State Assembly has introduced new legislation to restore incentives to California households after the California Public Utilities Commission (CPUC) decided to cut incentives that utilities were required to pay homeowners with new solar panels when they sold surplus power to the grid.

The legislation Assembly Bill (AB) 2619 aims to repeal the NEM 3.0 decision and require the CPUC to create a new rule structure based on the landmark clean energy goals set by Senate Bill (SB) 100, which commits California to achieving 100% clean carbon-free energy by 2045.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

The bill also aims to restore incentives for residents who generate clean power for the grid and restrict the imposition of new charges, taxes, fees, or rates on community solar customers that are different from what is assessed on all other ratepayers for electricity, or any other service including energy transmission.

“It’s clear that additional taxes on solar and the removal of incentives that have helped offset the cost of solar installation has had severe consequences on our ability to generate clean energy,” said Damon Connolly, member of the California State Assembly from the 12th district.

He added that the NEM 3.0 decision has clearly disincentivised clean energy adoption with rooftop solar sales down between 66% and 83%.

Stephanie Doyle, California state affairs director at the Solar Energy Industries Association (SEIA), commented: “Over the last year, the California rooftop solar and storage industry has struggled to adjust to the abrupt changes to California’s net metering programme. The new bill would require the CPUC to develop a new solar tariff by 2027 and prohibit new fees on solar customers, helping to ensure that the solar market in California continues to grow.”

PV Tech Premium previously talked to the California Solar & Storage Association (CALSSA) executive director Bernadette Del Chiaro about the Californian solar market, when she said the industry will experience a strong headwind.

“Without government intervention, a downward trend will be the best description of the California market this year,” Del Chiaro said, adding that the state will install a lot less solar in 2024 — probably the lowest levels in five years.

Additionally, adjusting to the NEM 3.0 is the biggest issue now among stakeholders of the solar industry in California in 2024.

PV Tech reported in December 2023 that after the implementation of the NEM 3.0 in April 2023, year-on-year solar sales were down between 57% and 85%. Utility interconnection data from CALSSA also shows solar sales were down between 66% and 83% last year due to the tariffs. Lastly, the Californian solar industry could lose 17,000 jobs by the end of 2023, representing 22% of all solar jobs in the state, after the implementation of NEM 3.0.

21 October 2025
New York, USA
Returning for its 12th edition, Solar and Storage Finance USA Summit remains the annual event where decision-makers at the forefront of solar and storage projects across the United States and capital converge. Featuring the most active solar and storage transactors, join us for a packed two-days of deal-making, learning and networking.
16 June 2026
Napa, USA
PV Tech has been running PV ModuleTech Conferences since 2017. PV ModuleTech USA, on 16-17 June 2026, will be our fifth PV ModulelTech conference dedicated to the U.S. utility scale solar sector. The event will gather the key stakeholders from solar developers, solar asset owners and investors, PV manufacturing, policy-making and and all interested downstream channels and third-party entities. The goal is simple: to map out the PV module supply channels to the U.S. out to 2027 and beyond.

Read Next

October 7, 2025
Solar PV will account for almost 80% of the 4.6TW of new renewable power expected to be added by 2030, according to the International Energy Agency (IEA).
October 7, 2025
Doral Renewables has secured a PPA with an unnamed 'corporate buyer' for its 430MW Cold Creek solar-plus-storage project in Texas.
October 7, 2025
US independent power producer (IPP) Arevon has begun operations at two utility-scale solar projects in Indiana.
Premium
October 6, 2025
Talon PV aims to be the first US company to safely manufacture TOPCon cells at scale, backed by European technology and a crucial First Solar licensing deal.
October 6, 2025
US utility AES Corporation is reportedly in discussions to be acquired by Global Infrastructure Partners (GIP), a subsidiary of global asset owning giant BlackRock.
October 3, 2025
Renewables developer Madison Energy Infrastructure has bought the US distributed generation assets of NextEra Energy Resources.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
October 21, 2025
New York, USA
Solar Media Events
November 25, 2025
Warsaw, Poland
Solar Media Events
December 2, 2025
Málaga, Spain
Solar Media Events
February 3, 2026
London, UK