California fixing solar roofs

May 25, 2007

The California state Senate approved a bill yesterday to fix an oversight in a solar law, passed in January, that has had the unintended consequence of stalling solar adoption in some areas of the state.

Last year's "Million Solar Roof" law championed by Governor Arnold Schwarzenegger was meant to encourage people to install energy-saving solar panels by offering financial incentives.

But a regulation that took effect January 1st required participants in the program to pay more costly electricity rates when they need extra power.

The rule has punished hottest parts of Southern California, in particular. In some limited cases, the "time of use" charges on summer days are exceeding what a person would pay without solar panels.

Installers in the area reported a steep decline in orders since the rule took effect Jan. 1.

The problem started getting widespread attention last week. Governor Schwarzenegger met with lawmakers representing the hardest hit areas and utility officials, and the fix in the works could be voted on by the California state Assembly as early as next week.

"A lot of times in the Legislature we pass laws that have huge unintended consequences. This was a classic example of it," said State Sen. Jim Battin, R-La Quinta, whose district is affected. He spoke with the Sacramento Press-Enterprise.

"SB 1 is a wonderful piece of legislation," said Pat Conlon, Palm Desert's director of energy management, referring to last year's California solar roof bill. "But mistakes happen. I read that gosh-darn thing and I didn't pick up on it."

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California solar law now fixed

California Governor Arnold Schwarzenegger has signed into law a bill sped to him by state legislators that fixes the solar industry solar incentives, above, that went awry unintentionally.

The new law takes effect immediately.

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