The passage of SB432 is expected to lower energy bills for residents in low-income housing by providing access to renewable energy resources that they might not have been able to afford independently. By allowing shared solar systems which operate at no cost for the installation of individual meters, it encourages the use of renewable energy while simultaneously supporting energy equity. The policy changes will alleviate some financial burdens on low-income tenants and contribute to a broader transition towards sustainable energy solutions across the state.
Senate Bill 432, known as the Low-Income Solar Act, is designed to promote equitable access to solar energy for low-income households in New Mexico. The bill establishes a framework for shared solar energy systems located on qualifying low-income multifamily residential properties, allowing residents to benefit from on-site solar-generated energy. It aims to ensure that the financial benefits derived from these energy systems are distributed fairly among tenants, ultimately reducing their energy costs. Moreover, the bill mandates the creation of rules for the equitable allocation of solar energy credits, allowing for virtual net metering that supports tenants irrespective of their meter setups.
However, the bill also faces critiques regarding potential implementation challenges. Some stakeholders express concerns that existing utility frameworks may not seamlessly accommodate the new regulations concerning virtual net metering and the allocation of credits. Utilities might resist the changes that require modified billing practices, which could create friction between service providers and low-income housing advocates. Furthermore, the overarching reliance on the utility's compliance raises questions about whether such organizations will act in good faith to facilitate the intended equitable outcomes outlined in the bill.