The proposed amendment in AB 1662 does not introduce substantial changes to the existing legal framework but seeks to clarify the ongoing rights of customer generators under net energy metering. By maintaining the established terms for eligible installations, the bill aims to encourage the use of renewable energy sources by providing assurance to individuals and companies that have invested in such systems. This stability may promote further investments in renewable technologies among both residential and commercial entities in California.
Assembly Bill No. 1662, introduced by Assembly Member Obernolte, focuses on amending Section 2827.7 of the Public Utilities Code which pertains to net energy metering practices in California. The bill retains existing provisions that allow customer generators who have met specific local and state permitting requirements by certain deadlines to secure net energy metering terms for the lifetime of their installations. This allows for greater stability in energy tariffs for these customers, ensuring that they can benefit from the terms in effect at the time they obtained their permits, independent of subsequent ownership or regulatory changes.
While AB 1662 is largely non-controversial given its nonsubstantive nature, the underlying topic of net energy metering has historically generated debate. Supporters often argue that such provisions are crucial for incentivizing renewable energy adoption, providing economic benefits to customers generating their own electricity, and fostering energy independence. Conversely, some stakeholders, including certain utility companies, express concern that expansive net energy metering policies could lead to increased costs for non-participating customers and potential strain on the electricity grid. The bill's retrospective application only solidifies rights for existing setups without broad impacts on future regulations, allowing some to see this as a prudent balance between advocacy for renewable energy and regulatory responsibility.