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CA’s deadline to go solar to maximize savings is upcoming

Policy

In case you missed it, in December 2022, the California Public Utilities Commission (CPUC) issued a decision that ended a nearly two-year long battle between the investor-owned utilities and environmental groups over the future of rooftop solar in California. Although there was a coalition over 600 strong comprised of environmental and climate change organizations, nonprofits, schools, cities, churches, businesses and elected officials who spent two years urging the CPUC to keep solar growing sustainably, as instructed by law, the CPUC ultimately decided to side with the investor-owned utilities and made significant cuts to agreement solar customers go on, known as net energy metering. You can read more about the coalition here

Under the new net energy metering (NEM) agreement (known as NEM 3), solar customers will get about 75 percent less from the utility for the clean, local and reliable excess energy they share with their neighbors (which the utilities still charge their neighbors full transmission and distribution fees for). Just to give you a sense of how the new tariff compares to what solar customers are receiving currently, compensation for energy will go from an average of $.25/kWh all the way down to about $0.05/kWh. NEM 3 customers will also be forced to go on rates that have higher rates in the evening. All in all, these changes will nearly double the time it takes to pay off a residential system.  

There is some good news.  

If you already have solar, these changes will not affect you! All NEM 1 and NEM 2 customers will continue to receive benefits until their agreement expires, which is 20 years after the system was turned on. The only scenario that would make a customer lose their current NEM status is if a customer adds additional panels that exceed the allocated amount. 

The NEM 3 decision includes a “sunset period” that ends 120 days after the approval of the final decision, meaning anyone who goes solar before the sunset period date is still eligible for NEM 2. In order to go solar and receive maximum benefits, a solar contractor must submit a completed interconnection agreement without significant errors and a signed contract by April 14, although we recommend getting this submitted as soon as possible in case there are errors that need to be resolved. The solar power system can be installed after the cutoff date, so long as the application is submitted by April 14 and it is approved by the utility, however, if any significant changes are made to the equipment being used or system size, that would trigger a new application and cause the customer to lose their NEM 2 status.    

As the proceeding currently stands, customers should be prepared to go solar by the cutoff date, April 14, in order to receive the maximum benefits, however, there is a small possibility that this decision could be reversed entirely. Last month, the Center for Biological Diversity, Environmental Working Group and Protect Our Communities Foundation filed a formal appeal to reverse the CPUC’s final decision. The appeal highlighted ways in which the CPUC violated the law. 

The first and perhaps most obvious issue is that the decision violates a California law requiring the sustainable growth of rooftop solar. The California law is very clear in stating that the new NEM tariff must “ensure that customer-sited renewable distributed generation continues to grow sustainably,” During the course of the proceeding, some commissioner’s even stated that this decision may slow rooftop solar adoption but the CPUC has to consider other issues as well. The appeal rightfully argues that this decision is not the CPUC’s decision to make, as the law is very clear. 

The second issue is that the decision violates another California law that requires the CPUC to put forward an alternative option that would increase solar in communities of concern. The current California law states that any changes to NEM must include an option that will grow solar in “disadvantaged communities.” Not only does the decision actually make rooftop solar more expensive for everyone and disproportionately impacts communities of concern, but the CPUC promises funds to disadvantaged communities that are not available unless the legislature allocates them and are only for battery storage, not rooftop solar. 

  

The overarching issue of the entire proceeding is that the CPUC completely failed to account for all of the benefits and costs of rooftop solar. Any changes to NEM should have been based on the costs and benefits to all ratepayers and the CPUC not only disregarded the benefits of rooftop solar, but also misrepresented the impacts of long distance transmission lines. The appeal claims that in disregarding evidence presented to them, they violated their own process and precedent.  

What's next? 

Although the appeal is strong in its merits, this appeal is simply administrative, meaning that the CPUC has no real timeline to respond to the appeal or make any decisions. If the CPUC fails to respond within 90 days, the organizations that filed the appeal can escalate the appeal to an appeals court, which representatives have stated is the plan. 

The appeal is strong, and has already gained support from groups like 350.org and Solar Rights Alliance, however appeals similar to this have been filed in previous CPUC proceedings and were ultimately dismissed by a court of law and the CPUC. While we should remain optimistic about the appeal, customers should still plan to follow the current deadlines on the table to ensure they don’t miss the opportunity to go solar.   

Bottom line is that if you can go solar now, we recommend it as you’ll be able to maximize your savings and start producing clean energy soon!

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Rasool, 13, and his brother Waad, six, explore the cracked ground where there once was water in a village in the al-Ankour area of western Iraq [Alannah Travers/Al Jazeera]

Reforesting Iraq: Iraqi Government Plan Set Out to Plant Millions of Trees

Over the last four decades, Iraq has suffered a plethora of environmental consequences, made worse by the constant wars that have left the country with problems ranging from decaying infrastructure to contaminated water systems.

Over the last four decades, Iraq has suffered a plethora of environmental consequences, made worse by the constant wars that have left the country with problems ranging from decaying infrastructure to contaminated water systems. In recent years, however, the government has embarked on a nationwide initiative to combat the effects of climate change by planting millions of trees across much of the country’s arid landscape. These initiatives, supported by both local and international organizations such as the United Nations Country Team (UNCT), aim to mitigate the country’s environmental challenges, such as desertification, extreme heat, and air pollution. However, while the planting of trees is a crucial first step, the challenges of maintaining and sustaining these trees require continuous efforts from the responsible bodies such as government officials and community-led organizations, especially in a country that is facing several developmental challenges.

Baghdad’s goal to plant over 10 million trees as well as similar efforts in the autonomous region of Iraqi Kurdistan reflects a nationwide push to reduce greenhouse gas emissions and to restore Iraq’s diverse ecosystems. Such ecosystems have taken a huge hit, such as the loss of over 50% of forests in the Iraqi Kurdistan region (the Arab Weekly). These losses in forests and tree-covered areas are partly the result of the water crisis, instability that has led to an increase forest fires, and increased economic dependence on the cutting down of trees. In response, the planting of trees is meant to absorb carbon dioxide, making them a vital step in the country’s road to environmental sustainability. 

In addition to the effects on the environment, there has been a significant toll on human lives. According to a United Nations report, nearly 7 million Iraqis are facing a severe lack of safe, clean water​ (The World). The country’s two primary rivers, the Tigris and Euphrates, have experienced historically low levels due to upstream damming and prolonged droughts, both made worse by climate change.

The mass tree planting initiative is not just about greening Iraq’s arid landscape; it’s about creating sustainable ecosystems that can support both human and wildlife populations. Trees are known to absorb carbon dioxide, a key greenhouse gas, thus playing a vital role in global efforts to combat climate change. In Iraq, the reforestation plan is expected to sequester significant amounts of carbon, improve air quality, and restore degraded land.

However, planting trees is only half the battle. The success of Iraq’s reforestation efforts hinges on the country’s ability to ensure that these trees survive and thrive. Watering these newly planted trees is a critical aspect that is often overlooked in large-scale reforestation projects. In Iraq, where water resources are already under severe stress, this presents a significant challenge. 

One of the strategies being explored is the use of treated wastewater for irrigation. By recycling wastewater, Iraq could reduce the strain on its freshwater resources while providing the necessary hydration for its growing forests. Another approach involves the implementation of advanced irrigation techniques, such as drip irrigation, which minimizes water waste and ensures that water reaches the tree roots directly. In contrast, the Chairman of the Parliamentary Water and Agriculture Committee in an interview on Iraq state TV referred to the condition of agriculture in Iraq as similar to that during the time of “Hammurabi”, noting its reliance on archaic methods of irrigation.

In addition to water challenges, the quality and type of trees planted are crucial for long-term success. Not all trees are suited to Iraq's harsh environment, where extreme heat and dust storms are common. Medium-sized trees like the black wattle (Acacia decurrens), honey locust (Gleditsia triacanthos), and black locust (Robinia pseudoacacia) are more likely to tolerate these conditions. These species can survive in dry climates and provide valuable shade, which helps reduce the surface temperatures in urban areas. In contrast, palm and date trees, while the latter is iconic in Iraq, often require large amounts of water and offer limited shade, making them less ideal for extensive reforestation efforts in a country with a mostly arid climate like Iraq. 

Despite these efforts, experts warn that reforestation alone may not be enough to counter the severe impacts of climate change in Iraq. The country’s broader environmental policies must address issues such as water management, agricultural practices, and urban planning to create resilient and flourishing ecosystems. Without a comprehensive approach, the benefits of planting millions of trees could be undermined by continued environmental degradation at a rate higher than the planting of new trees can mitigate.

Moreover, community involvement and education are essential to the success of these reforestation projects. Local communities need to be empowered with the knowledge and tools to care for the trees and understand the long-term benefits of reforestation. This includes promoting awareness about the importance of conserving water, protecting newly planted areas, and reducing activities that contribute to deforestation and land degradation.

In conclusion, while Iraq’s commitment to planting millions of trees is a commendable step towards addressing the challenges posed by climate change, it is not a cure-all. The survival and growth of these trees depend on selective and careful planning, adequate water resources, and community engagement. As Iraq continues to battle the effects of climate change, it must adopt a holistic approach that integrates reforestation with broader environmental and sustainability initiatives to ensure a greener, more resilient future for all. Iraq’s future depends on comprehensive climate strategies that include adequate water management and policy reform. Given the country’s current political and economic challenges, these goals seem ambitious at best.

To learn more about Iraq's broader environmental strategy, you can explore the country’s blueprint for a greener future as supported by efforts from the United Nations Development Program. 

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Solar Moonshot Program Hits 150th Project Milestone

This year, our Solar Moonshot Program celebrates a significant milestone: supporting our 150th project!

This year, our Solar Moonshot Program celebrates a significant milestone: supporting our 150th project! Since its inception in 2020, this initiative has been dedicated to facilitating the transition to clean energy for nonprofit organizations across the United States. Our primary objective is to empower nonprofits serving Communities of Concern to adopt solar, thereby reducing their environmental footprint and allowing them to allocate more resources towards their missions and the communities they serve. To date, a whooping 217,581.18 kW of solar power has been supported thanks to this program, offsetting dirty energy accelerating the climate crisis. 

These grants play a pivotal role in funding solar projects for nonprofits, covering essential costs such as the equipment, installation and maintenance, often to organizations too small to secure traditional solar financing. Grant priority is given to organizations that are located in or serve Communities of Concern, which to us often means BIPOC, LGBTQIA2S+, women-led and other groups of people that have historically been underinvested in or marginalized. Over the past five years, the Solar Moonshot Program has successfully funded over 150 projects, totaling over $3.3 million in grants executed and $272,068 in tax credit bridge loans, spanning a wide range of sectors. From community centers, schools and homeless shelters to wildlife sanctuaries, Indigenous elders and educational institutions, each project represents a significant step towards a more just and livable future. We have projects across the nation, in 29 states, Puerto Rico and our first international project in Rwanda. These installations not only contribute to the reduction of carbon emissions but also serve as tangible examples of renewable energy adoption within communities while supporting local green jobs and stimulating regional economies.

We are proud that our 150th project grant was a local San Diego project. The Sherman Heights Community Center is a 501(c)(3) nonprofit organization celebrating their 30th year serving the community. They have a mission to foster community through education, cultural enrichment, health promotion and personal development. The community they serve is predominantly Mexican-American with many families facing economic hardship. They serve about 20,000 community members annually, mostly residents in Sherman Heights and the nearby communities of Grant Hill, Logan Heights, Barrio Logan, San Ysidro and other South Bay communities facing environmental injustices.

We had much more involvement with this grantee than usual, and it's been our pleasure to guide this project from concept through completion. Last year San Diego Community Power opened its first Community Clean Energy Grant Program application period. Hammond Climate Solutions Foundation wanted a community-led project so we reached out to the community asking for recommendations of nonprofits for a solar and storage project. The Sherman Heights Community Center came highly recommended and we were thrilled to support such an impactful organization. The Solar Moonshot Program grant was funded by BQuest Foundation, our philanthropic partner that has supported the program since 2020, and also provided a low-interest tax credit bridge loan for this project. 

The 24kW solar power and 19.2kWh energy storage system was designed and installed by Aloha Solar Power, an International Brotherhood of Electrical Workers (IBEW) Local 569 contractor, supporting local, union jobs while providing on-the-job training for apprentices. 

It's exciting that the solar and storage project is slated to offset 99.6% of the community center’s energy usage, which should result in over $400,000 in electricity bill savings during the lifetime of the system! These substantial savings will be reinvested into the community center and the Communities of Concern it serves. In addition to the clean energy system reducing CO2 emissions, it can provide electricity to the community during power outages, offers clean energy education and supports regional economic growth. 

The Sherman Heights Community Center’s clean energy project was made possible thanks to the organizations and individuals whose financial contributions totaled over $89,000 through our Solar Moonshot Program: BQuest Foundation, San Diego Community Power’s Community Clean Energy Innovation Grant Program in partnership with the San Diego Foundation, Futures Unbound, Greentech Renewables San Diego, IBEW Local 569 and Ann Dynes. To help the community center secure the final portion of funding needed for the project to proceed, we offered to host our first-ever fundraiser: the Pickleball Fundraiser for the Sherman Heights Community Center Clean Energy Project. The fundraiser was a success and a lot of fun! Thanks to all of the participants who helped us raise an additional $14,000 for this project. We’d like to give a shout out to the La Jolla Pickleball Club as well as the companies that donated food and auction items, which made it possible for 100 percent of the funds raised to go towards this clean energy project. 

As we reflect on the achievements of the Solar Moonshot Program over the past five years, we extend our heartfelt gratitude to our partners, supporters and the inspiring nonprofits who are driving positive change in their respective communities. We are so thankful to our generous philanthropic funders that have made this program possible: Left Coast Fund, BQuest Foundation and an anonymous donor through the San Diego Foundation. We appreciate the support from Palomar this year as well. 

We currently have funding for solar grants and loans available! To learn more about the Solar Moonshot Program, including previous grantees, we encourage you to visit our website.

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Empowering Oceanside: Nonprofits Harness Clean Energy to Reinvest in the Community and Combat Climate Injustices

About a year ago, Preserve Calavera, the Oceanside-based nonprofit organization that received $4.4 million for its Oceanside Greenhouse Gas Emission Reduction Fund, selected solar power projects to be among its first initiatives with the fund.

About a year ago, Preserve Calavera, the Oceanside-based nonprofit organization that received $4.4 million for its Oceanside Greenhouse Gas Emission Reduction Fund, selected solar power projects to be among its first initiatives with the fund. The target for its initial solar grants were nonprofits in Oceanside’s communities of concern that otherwise wouldn’t be going solar. 

With an April 2023 deadline to get secured under net energy metering, or NEM 2.0, the solar agreement with San Diego Gas & Electric before solar rules changed across California, Preserve Calavera hired Hammond Climate Solutions Foundation to manage the solar initiative. After outreach to several community organizations, Preserve Calavera recommended Brother Benno’s to be one of the grant recipients. Brother Benno’s is a 501(c)(3) dedicated to serving homeless neighbors, the working poor, and seniors in North San Diego County by offering essential meals, addressing basic needs, fostering community outreach, and supporting addiction recovery.

Hammond Climate Solutions Foundation managed a competitive bidding process for the solar projects, brought in BQuest Foundation, another philanthropic funder, oversaw the execution of the solar contracts and philanthropic solar agreements, in addition to reaching out to an established BQuest partner, Vista Community Clinic, to be a grant recipient. Vista Community Clinic, which first opened in 1972, set out to provide quality health care to anyone who walked through its doors. Today, nearly 50 years later, the clinics have helped redefine the community clinic model by pioneering innovative models of primary care delivery.

The first of the three solar projects, for Vista Community Clinic’s (North Horne Street location), completed this month. The other two projects, at Vista Community Clinic’s (Pier View Way location) and Brother Benno’s, should start within a couple of weeks. Combined, these projects are saving the nonprofits an estimated $2 million during the lifetime of the systems while reducing 2810  metric tons of CO2 contributing to the climate crisis. The three systems have an average payback period of 4.3 years. Additionally, these solar projects were installed by the Encinitas-based, International Brotherhood of Electrical Workers (IBEW) 569 signatory contractor, Aloha Solar Power, supporting local green jobs and apprentices getting on-the-job training. These three projects are considered smaller solar projects that slip through the cracks with traditional solar financing. This leaves many nonprofits not being able to go solar, missing out on a variety of benefits. 

The solar projects will provide education to the community about clean energy, how it reduces climate injustices and the impacts of the climate crisis, which often impact communities of concern first and worst. 

These projects were made possible by a grant from the Oceanside Greenhouse Gas Emission Reduction Fund at San Diego Foundation on behalf of Preserve Calavera as well as a philanthropic solar bridge loan from the BQuest Foundation. 

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