Supported by The Climate Center

SB 1374 (Becker) Rooftop solar for apartment buildings, schools, and farms

Rooftop solar installation. Photo by Canva.

In order to meet our climate goals, California will need to dramatically increase the amount of installed renewable energy, including substantially increasing the amount of rooftop solar.

In November of 2023, the California Public Utility Commission (CPUC) issued a decision that makes it much harder for schools, farms, and rental housing to receive economic benefits from using solar to offset their power purchases from Pacific Gas & Electric, Southern California Edison, and San Diego Gas & Electric. The decision said that these types of customers must sell all the solar power they generate on their rooftop back to utilities at “avoided cost” rates that are much lower than the retail rates they pay for electricity, then purchase that energy back at the retail rate which is much more expensive.

This effectively raised the cost and reduced the incentive for putting rooftop solar on apartment buildings, schools, farms, and other properties with more than one energy meter. 

SB 1374, introduced by Senator Josh Becker, would amend that decision and allow schools, farms, and rental housing to use their own solar power to offset their utility bills, just as residential customers do.

Status: Passed out of the Assembly Committee on Utilities and Energy in July 2024. Now with the Assembly Appropriations Committee.

Bill author