We are nearing a decision by the Corporation Commission on whether or not they will finally end the solar subsidies under the current Net Metering program, a policy at the Commission that provides credits to ratepayers that put energy back on the utility grid. While it appears there is support to finally rein in the solar giveaways, Commission staff has recommended waiting as long as 3 years to address the issue, which plays directly into the solar industry’s hands.
Of course the subsidy hungry solar lobby would love a delay—the longer we go without reform the harder it will be to fix in the future. Delaying action should not be an option.
The Free Enterprise Club supports reforming the Net Metering program, and submitted comments to the commission urging reform (our letter can be viewed here). We believe that an effective program should utilize a market driven approach that compensates solar ratepayers based on actual value of the energy that is put back on the grid.
The bottom line is the special interests opposing reform (even calling reform Corporate Welfare, when in fact the current program is the definition of Corporate Welfare) will only be emboldened if the Commission waits to roll back these subsidies. It’s time we stop picking winners and losers through our utility bill and end the hidden subsidies that are embedded in the Net Metering program.