California is producing too much solar power. In fact, California's is paying other states to take some of their excess. Per articles in various news sources (Union Tribune, Newsweek and Los Angeles Times) at the end of 2024, California's solar farms were curtailing production either on the orders of the states' grid operator or because prices had plummeted because if the glut. "The amount of curtailed solar power has more than doubled from 1.5 million megawatt hours in 2021, state records show, and is up eight times from levels in 2017," according to a December 8, 2024 article by Melody Petersen in the Union Tribune.
She goes on to say the waste would have been even higher if California had not paid utilities in other states to take the excess solar energy. That means California electricity customers are paying to lower bills for residents of Arizona and other states. Sometimes Arizona Public Services turns off its own solar fields to take California's excess. (Also in the Petersen article.) It is a lovely goal to go green through solar power but should California residents pay for the use of other states? I think not.
California electricity rates are roughly twice the nation's average (sited in the Petersen article.) Basically users are paying for production that is not being used. Those who manage the grid say they are working to try and get more industry-scale battery storage facilities to store the excess solar power produced during the day and release it at night. I couldn't find an update on that as of this writing.
What I did find though were several things that impact residential solar owners:
1) In 2022 the California Public Utilities Commission, whose members are appointed by the governor, voted to slash financial incentives for residential solar panels. They feel those of us with solar panels are decreasing the demand for electricity. (Sorry to get caustic but isn't the point to produce more solar energy because the state wants us to move away from fossil fuels? Who are these Einsteins?) With demand down they have to increase rates to cover costs.
2) California lawmakers are considering a bill (AB 942) that would renege on decades of commitments to customers who’ve installed solar panels on their homes — all to shrink only a tiny fraction of the utility costs that are driving electricity rates through the roof. This bill that was submitted by a former SoCal Edison Executive and will increase profits for PG&E and SoCal Edison by voiding existing Solar contracts and increasing energy costs to buyers of homes that have solar panels in place. An average rooftop solar customer would face an electricity bill increase of about $63 per month after selling or transferring their home, potentially complicating real estate transactions. For more specifics read this article on Canary Media. If this concerns you please reach out to your assembly person and ask them to vote no on the bill.
Transitioning to solar power has been a stated goal of California government. If that is the case citizens should not be penalized for supporting that goal.
