Directing All Electric Utilities In Delaware That Offer Net Metering To Solar Customers To Continue To Participate In A Cost-benefit Study And Analysis Of Net Metering,
The resolution extends the deadline for DESEU to complete its report to April 30, 2025, allowing further time for the evaluation which aims to address both the economic feasibility of net metering and regulation around solar energy provisioning. Currently, Delaware law imposes an 8% cap on net metering which could limit the growth of the solar industry if not reassessed. This cap potentially restricts utilities from accepting new net metering customers, thereby impacting the expansion of solar energy usage in the state.
SJR1 is a Senate Joint Resolution that directs all electric utilities in Delaware offering net metering to solar customers to continue their participation in a comprehensive cost-benefit study and analysis regarding net metering. This initiative is aimed at examining the financial impacts and benefits associated with net metering arrangements, particularly in the context of cost burdens and shifts to non-solar customers. The study is being conducted by the Delaware Sustainable Energy Utility (DESEU) to evaluate the sustainability of current net metering practices and to ensure that all stakeholders can provide input based on factual data.
Discussion surrounding SJR1 indicates a favorable sentiment towards enhancing solar energy adoption through effective regulation. Supporters argue that thorough analysis is essential to ensure that net metering policies equitably balance the interests of both solar and non-solar customers. However, there are concerns from advocacy groups regarding potential cost ramifications for low-income individuals who may not have the capability to install solar systems, intensifying the call for fair and equitable energy policies.
One notable point of contention within the discussions is the potential for cost transfers from higher-income solar customers to lower-income non-solar customers. Critics of the net metering structure express concern that the existing system could perpetuate economic disparities if changes to the policy are not handled judiciously. Consequently, the resolution aims to determine a fair approach to net metering credits, linking it to findings from the ongoing cost-benefit study.