February 6, 2023
Thanks to Sierra Club members who attended the All-Orange County Open House on January 24th. Sierra Club Angeles, Swell Energy and the Solar Rights Alliance connected with local homeowners to discuss the importance of renewable energy, answer questions about the adoption of solar plus energy storage and inform attendees about the NEM 3.0 solar credit changes taking effect on April 13.
Swell Energy Consultant, James Louis, presented to an in-person and a live streaming YouTube audience about the benefits of solar plus energy storage for homeowners and the critical work happening in collaboration with utilities to create Virtual Power Plant (VPP) programs. Swell’s VPP programs incentivize homeowners for allowing Swell to manage their home energy systems and using their stored energy during times of peak demand to reduce strain on the electric grid and provide valuable grid services. These networks of individual energy producers operate as “Virtual Power Plants” that are transforming the way we buy and use energy.
Solar Rights Alliance co-presented with a message of community unity around the transition to solar energy. Presenter, Cailey Underhill, stressed the importance of member advocacy to garner local government support for the adoption of solar community-wide. Solar Rights Alliance is currently leading campaigns with local jurisdictions to make headway on the time-consuming permitting process that is a roadblock for many solar customers. The adoption of the Solar Automated Permitting Platform (Solar APP+) by cities and counties is transforming the permitting process, making it faster and more affordable. Solar APP+ is not a phone app, but rather a software tool for local government that streamlines the permitting process allowing homes to receive code-compliant permits automatically for solar and battery storage installations. Solar Rights Alliance is leading this effort statewide to remove further roadblocks to the timely, safe and efficient installation of solar for homeowners.
A key theme of the night was the inherent urgency created by the transition from the NEM 2.0 to NEM 3.0 solar credit structure coming in April 2023. As a solar homeowner or someone considering solar, you may have heard the California Public Utilities Commission (CPUC) ruling on December 15, 2022 is changing the state’s Net Energy Metering (NEM) program. The changes establish the new NEM 3.0 program for new solar customers governing how solar customers are compensated for excess energy they export to the grid, what rate schedule they will be on, and what fixed charges apply.
Many homeowners and solar customers anticipating increases in electricity use for the addition of an electric vehicle, electric stove, pool pump or other high energy use items are installing solar or adding to their existing solar systems now before the NEM 2.0 grace period ends on April 14, 2023. Installing new solar or increasing your system size by more than 10% after NEM 3.0 goes into effect will require the system to be on the NEM 3.0 program. When NEM 3.0 takes effect, it can reduce the value of solar credits by as much as 75%.
California homeowners who want the best possible energy savings still have time to install new solar systems or add solar panels or a battery on the current version of NEM and enjoy a much faster payback on their investment. You can ensure NEM 2.0 for 20 years when you sign a contract with a solar company and have them file a complete, non-deficient interconnection application on or before the April 14th deadline, provided the system passes local building department inspection and utility review. The installation must be completed within three years.
To further incentivize Sierra Club Angeles homeowners to act now, Swell is offering up to $500 cashback on your upsized or new installation of solar, storage or both and we’ll contribute up to $750 to Sierra Club Angeles on your behalf.
Now is also the best time to include energy storage batteries with your solar. The new rate structure will continue to benefit households with batteries that use their stored energy during times of peak usage rates.
Key takeaways you need to know:
- If planning to add panels, you can lock in the better NEM 2.0 now before NEM 3.0 takes effect when you contract with Swell by March 15, 2023.
- Adding a battery to your existing solar system saves you more by using stored energy at times of day when utility rates are highest.
- The 30% Inflation Reduction Act federal tax credit is applicable to added solar panels and energy storage.
Swell Energy and Sierra Club Angeles are working together to inform members, through as many channels as possible, about the NEM changes and this crucial deadline of April 14, 2023 for the adoption of solar at the best available rates. Applications take time so the sooner you begin the better off you are to get into NEM 2.0 and the additional benefits it offers. From live presentations to newsletter, email and social media communications, Swell and Sierra Club Angeles are urging homeowners considering solar to act now and get your applications by March 15th ahead of the April 14 deadline.
Contact swellenergy.com/sierraclubangeles or call (888) 839-0296 to speak with a Swell Energy Consultant to contribute to a cleaner planet, protect your power and lock in savings for years to come.
The Swell Energy Difference: Unlike a typical solar company, Swell Energy offers complete energy solutions including solar installations, solar plus energy storage and further savings with GridRevenue™ through our Virtual Power Plant programs. We work with utility companies to provide smart grid solutions to take pressure off the grid and reduce the impacts of climate change. Visit our press room to learn more about the work we’re doing in communities like yours.