Solar Panel Reimbursement Rates Under Court Review.
(NEM 3.0 and the Case of the Vanishing Credits)
Recent news has PG&E in legal tussles over reduced payouts to California solar owners. Many solar panel owners felt like the people in those urban legend stories waking up in a bathtub full of ice with their kidneys missing. In this case, in 2023 the CPUC adopted NEM 3.0, dropping export rates from about 40¢/kWh to roughly 5¢/kWh; cuts as much as 80% in some cases. PG&E wanted to force the NEM 3.0 rate on solar panel owners that had better rates guaranteed to them for many years to come. This abra kadabra with people’s rates made rooftop solar far less economical and helped trigger job losses and bankruptcies in the solar industry. Three environmental groups sued, arguing the policy violates state climate laws and undervalues the benefits of distributed solar.
In August 2025, the California Supreme Court overturned a lower-court decision that had upheld the cuts and sent the case back to the Court of Appeal to reconsider whether the CPUC’s decision complies with state law supporting continued rooftop-solar growth. For now, the cuts remain pending further legal review. Will we ever get our kidneys back?
Solar Panel Installation Fed Rebates Gone After This Year.
(Beat the Witching-Hour Deadline)
Somebody is double tapping the solar industry! The Residential Clean Energy Credit, a 30% federal tax credit for solar panels and battery storage, expires for systems installed after December 31, 2025, attributed here to President Trump’s “One Big Beautiful Bill.” If you want the full credit, finish installation by year-end 2025 otherwise it vanishes like your hopes of ever surviving this green energy apocalypse.
California adds some treats: the Self-Generation Incentive Program (SGIP) offers up to $200/kWh for batteries, and the Residential Solar and Storage Equity Program (launched June 2, 2025) offers up to $1,000/kWh in qualifying areas. Plus, the state keeps a property-tax exclusion for solar systems, so adding panels doesn’t raise your assessed value.
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