Solar Advocates Applaud as AB 327 is Signed into Law


Big news straight from the California solar front: Governor Brown has signed Assembly Bill 327 into law. 

AB327 passed Assembly on Thursday, September 12, 2013, and moved on to Governor Brown. Today, Monday, October 7, 2013, the bill has been signed into law.

In short, Assembly Bill 327 will:

  • Remove the current suspension on Net Energy Metering (NEM) that would go into effect at the end of this year, thereby ensuring that NEM will stay in place until customers of the three large utilities have hit the existing 5% cap, which will likely happen around 2016 or 2017
  • Eliminate uncertainty over how the current net metering cap is calculated
  • Ensure that after the existing 5% cap has been hit, solar customers will continue to receive some form of fair credit on their utility bills for the electricity they send back to the grid, with no future cap.
  • Provide a framework for removing the net metering cap altogether
  • Remove the 33% ceiling on the state’s Renewable Portfolio Standard, meaning the 33% becomes a floor, not a ceiling

The governnor released the following signing statement:











Solar Energy Industries Association (SEIA) President and CEO Rhone Resch released the following statement after AB 327 was signed into law:

“SEIA applauds Gov. Brown for his unwavering commitment to clean energy.  His efforts to reduce carbon emissions across California will have a positive and profound impact on the state’s future.  This law provides a clear pathway for the continued growth of solar generation in California, which ranks #1 in the nation in total installed solar capacity with 3,761 megawatts (MW) – three times more than any other state.  What’s more, solar now provides nearly 44,000 good-paying jobs across the state, while saving money for hundreds of thousands of Californians on their utility bills.  Gov. Brown should be congratulated for recognizing the importance of clean solar energy to both California’s economy and its environment.”