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.

Read Next

September 14, 2026
The US Department of Commerce (DoC) has finalised antidumping and countervailing duty rates on crystalline silicon PV cells imported from India, Indonesia and Laos, with combined rates reaching 249.13% for Indian manufacturers.
September 11, 2026
Plans for the US’ “first end-to-end” solar PV critical materials recovery and recycling facility have been announced.
September 11, 2026
This week's PV Chart of the Week profiles the technology breakdown of projected US solar module production capacity.
Premium
September 11, 2026
PV Talk: PERC has the potential to be a “workhorse” in the US cell manufacturing space, Suniva's Matt Card tells PV Tech Premium.
September 11, 2026
Italian power utility Enel has bought two solar PV projects in the US with a combined 625MW of generation capacity.
September 11, 2026
Georgia Power has secured Georgia Public Service Commission (PSC) approval for seven solar PPAs totalling 1,137MW under its CARES programmes.

Upcoming Events

Solar Media Events
October 13, 2026
San Francisco Bay Area, USA
Solar Media Events
November 3, 2026
Málaga, Spain
Solar Media Events
November 24, 2026
Warsaw, Poland
Solar Media Events
February 2, 2027
London, UK