Main page News Solar Cost and Financing States refine multi-family solar incentives in Q3 2024, highlighting key solar policy shifts

States refine multi-family solar incentives in Q3 2024, highlighting key solar policy shifts

With these actions, states are making important strides toward a more inclusive and sustainable solar future.

The NC Clean Energy Technology Center (NCCETC) has released its latest report, “The 50 States of Solar: Q3 2024 Edition,” showcasing significant state-level actions and discussions on distributed solar policy. Covering regulatory and legislative developments, the report focuses on key areas such as net metering, community solar, residential fixed charges, and solar ownership models.

During the third quarter of 2024, 42 states, along with the District of Columbia and Puerto Rico, took various actions related to distributed solar energy, with the bulk of activity surrounding net metering policies and residential charges. A total of 157 policy actions were recorded, with the most active states including California, Arizona, Massachusetts, Michigan, New York, Pennsylvania, and Oregon.

Key solar policy trends in Q3 2024

Three notable trends emerged from the report:

  1. Refinement of Multi-Family Solar Programs – States are increasingly adjusting policies to better integrate multi-family buildings into net metering frameworks, making solar more accessible to renters and those in shared housing.
  2. Review of Solar System Size Caps – Several states are reassessing limits on the size of solar systems eligible for net metering, which could allow for more widespread and larger-scale solar installations.
  3. Re-examination of Solar Compensation Mechanisms – States are revisiting the financial structures that determine how solar customers are compensated for excess energy they produce, adjusting programs to ensure they align with evolving energy markets.

Key Solar Incentives in the U.S. You Should Know

Top five policy actions in Q3 2024

The report highlights the most significant actions from Q3 2024, including:

  • Appalachian Power’s Net Metering Successor Tariff: Filed with regulators in Virginia, this proposal outlines new terms for net metering customers.
  • Connecticut’s Multi-Family Net Metering Rules: Regulators approved new guidelines that expand solar opportunities for multi-family buildings.
  • California Governor’s Veto on Net Metering Changes: Governor Newsom rejected legislation that would have altered net metering rules for multi-tenant buildings and public schools.
  • Florida Utility Rate Design: A municipal utility in Florida laid out plans for residential and solar rate design adjustments.
  • Alaska’s Net Metering Cap Increase: Regulators proposed a dramatic increase in the state’s aggregate net metering cap, raising it from 1.5% to 20% of total electric demand.

Vincent Potter, senior policy analyst at NCCETC, noted, “Solar rules continue to evolve as states fine-tune their policies to better serve customer-generators and integrate solar energy into broader energy systems.” As states across the country implement these changes, multi-family solar projects and community solar initiatives are expected to see substantial growth, enhancing access to clean energy for more residents.

With these actions, states are making important strides toward a more inclusive and sustainable solar future.

Source: Solar Power World

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