California’s Solar Equity Challenge

Energy Policy Now

Kleinman Center visiting scholar Severin Borenstein discusses California’s struggle to balance residential solar growth with electricity rate equity.

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California’s residential solar market is at a critical inflection point after years of strong growth. Last year the state, which has more rooftop solar than any other, lowered the net metering rate that it pays solar households for the excess electricity that they feed into the electric grid. The policy change contributed to a steep decline in residential rooftop solar installations. This could complicate the state’s task of achieving 100% carbon free power in just over 20 years.

Yet the reasons behind California’s decision to reduce its solar subsidy are complex and reflect growing tensions over the private versus public costs of rooftop solar. These costs are particularly controversial in a state that already has among the highest electricity rates in the country, as well as aggressive targets for home electrification.

On the podcast Severin Borenstein, a Kleinman Center visiting scholar and faculty director of the Energy Institute at the Haas School of Business at the University of California, Berkeley, discusses California’s residential solar energy policies and the challenge of balancing equity, solar growth, and the pace of electrification. Borenstein also explores the lessons from California’s experience that might be applied to other states where rooftop solar power growth is poised to accelerate.

Severin Borenstein is a visiting scholar at the Kleinman Center for Energy Policy and faculty director of the Energy Institute at the Haas School of Business at the University of California, Berkeley.

Related Content

Overcoming Economic Barriers to Electrifying Everything (podcast) https://kleinmanenergy.upenn.edu/podcast/overcoming-economic-barriers-to-electrifying-everything/

Residential Battery Storage: Reshaping the Way We Do Electricity https://kleinmanenergy.upenn.edu/research/publications/residential-battery-storage-reshaping-the-way-we-do-electricity/

Energy Policy Now is produced by The Kleinman Center for Energy Policy at the University of Pennsylvania. For all things energy policy, visit kleinmanenergy.upenn.edu.

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