By Francesca Nevil
On May 30, 2024, Administrative Law Judge Kelly A. Hymes issued a proposed decision for the California Public Utilities Commission (CPUC) to expand and improve its existing community solar programs and launch a new community renewable energy program. The CPUC issued a statement discussing how the expansion will allow California to take advantage of state and federal funding opportunities, including the U.S. Environmental Protection Agency’s Solar for All program, which was recently awarded to California through the support of the Biden Administration.
The New Community Renewable Energy Program is designed to minimize costs for all customers while providing a mechanism to capture external state and federal funding opportunities. This program will be available to customers of all income levels, with 51% dedicated to low-income subscribers. In addition, community choice aggregators would be permitted to participate in this program.
The Disadvantaged Community Green Tariff Program (DAC-GT), which is a community solar program that allows low-income customers living in disadvantaged communities to subscribe to a pool of solar projects and receive a guaranteed 20 percent electricity bill subsidy, is expected to add an additional 45,000 customers and facilitate 45 new solar projects. Currently, this program has 23,000 customers and 23 solar contracts signed. This program is funded through electricity bills and cap and trade funds.
The decision also improves the design of the Green Tariff Program, which allows customers of any income level, as well as commercial customers, to subscribe to a pool of community solar projects, without any cross-subsidies from other customers. The decision also launches a new community solar program that will allow interested customers to subscribe to a singular solar project.
This decision was issued pursuant to AB 2316 (Ward) (Chapter 350, Statutes of 2022), which, according to the decision, intended the CPUC “to create a community renewable energy program so that all Californians, especially those unable to host a rooftop solar system, realize the benefits of distributed generation through a cost-effective program that provides benefits to all ratepayers.” This recent CPUC decision intends to further the goals outlined in AB 2316.