CleanPowerSF’s proposed Solar Billing Plan would apply only to customers who are on PG&E’s Solar Billing Plan. This includes customers with solar or other renewable technologies like wind at their homes or businesses and who also meet one of the following conditions:

• Completed their application to interconnect onsite renewable generating facilities after April 14, 2023

• Have reached the end of the Net Energy Metering 20-year legacy period

• Modified an existing system resulting in a transition to PG&E’s Solar Billing Plan

Key elements of the proposal include:

• Energy export credits: When a customer’s system exports electricity to the grid, that electricity would be credited at the Avoided Cost Calculator rate. This amount changes hourly depending on the day of the year, time of day, and season. The rate is higher when there is more demand like in the summer or during the evening hours. These rates can be found on PG&E’s website here. Generally, the Avoided Cost Calculator rate will be less than the Net Energy Metering retail rate for energy export credits.

• Energy export credit “adder”: An additional $0.05/kWh credit would be applied to energy exports for customers on either low-income programs CARE (California Alternate Rates for Energy) or FERA (Family Electric Rate Assistance). The adder would be in place through 2031. Customers residing at a location that receives assistance from future CleanPowerSF battery storage incentive programs would be ineligible for the adder.

• Net Surplus Compensation: Solar Billing Plan customers would retain any remaining credits at the end of the annual True Up period since the credit represents the avoid cost for an equivalent amount of power. In addition, the Net Surplus Compensation rate would be based on the renewable energy credit value of net surplus generation, using the California Public Utilities Commission’s Renewable Portfolio Standard Market Price Benchmark, which is updated annually.

Adding battery storage to solar helps to maximize system benefits and savings under Solar Billing Plan. With a battery system, solar power that would be otherwise exported at a lower rate can be stored and then later in the day, particularly from 4:00 pm and 9:00 pm, can be used to meet evening energy needs.

CleanPowerSF is in the process of developing battery storage incentives, which alongside programs that incentivize heat pump water heaters and other measures will help rooftop solar customers capture the value of their energy for use in the evening hours.

In late 2022, the California Public Utilities Commission (CPUC) adopted the Net Billing Tariff (NBT), also commonly referred to as NEM3. NBT is a new program for determining customer compensation for excess electricity generation exported to the grid by rooftop solar systems. It is replacing PG&E’s current Net Energy Metering (NEM) program, known as NEM2, and will apply to future customer rooftop solar installations. PG&E’s NBT program is known as Solar Billing Plan (SBP).

Existing NEM customers will remain on their current NEM tariff for 20 years from when their system was connected to the electric grid. After the 20-year period, customers will be enrolled in Net Billing Tariff (or subsequent versions of NBT).

The current Net Energy Metering tariff (NEM2) closed to new customers on April 14, 2023. Customers who submitted an interconnection application before that date must have their systems fully installed and inspected by April 15, 2026. Customers who apply to interconnect their systems after the April 14th deadline will be enrolled in PG&E’s Net Billing Tariff program.

CleanPowerSF will be accommodating customers on PG&E’s Solar Billing Plan under CleanPowerSF’s NEM tariff for the near term. Existing NEM customers that transition to PG&E’s SBP will remain CleanPowerSF NEM customers and will see no change on the CleanPowerSF side (generation side) of the bill. Customers with new renewable facilities who are placed on PG&E’s SBP tariff will be placed on CleanPowerSF’s NEM tariff.