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Solar Tax Continues to Threaten California’s Rooftop Solar Progress

Policy
Image of solar advocates protesting at the state capitol

After about six months of near silence from the California Public Utilities Commission (CPUC) since their December 2021 proposed decision that would decimate the state’s rooftop solar agreement, net energy metering, they have recently announced that they are re-opening the proceeding to get input on some new elements of the proposal. Here is what we know: 

One of the most criticized elements of the proposed decision was the CPUC’s proposal to impose a fixed monthly charge for all solar customers. Previously, the charge was to be based on the size of the solar system, which would have resulted in $60 per month for an averaged sized residential solar system. The CPUC is now asking for feedback on charging customers based on self consumption - the solar energy customers produce and use at home. The less energy that is bought from the utility because of the solar, the higher the fee. The amount of the fee could be anywhere between $300-$600 per year on average. Local, state and federal governments have encouraged rooftop solar, similarly to promoting energy efficiency, which also reduces a household or organization’s energy use, lessening stress on the grid while minimizing CO2 emissions contributing to the climate crisis. A solar tax that punishes residents for using less energy is like taxing people for growing their own food instead of buying it from the grocery store. The proposed solar tax directly contradicts what the Newsom administration has said is one of their top priorities, addressing the rapidly accelerating climate crisis. 

Rooftop solar advocates, climate justice organizations, elected officials, community choice energy programs, houses of worship, nonprofits and schools have openly criticized the idea of taxing solar customers, which has resulted every single CPUC public voting meeting  being flooded with phone calls of concerned California residents voicing their strong opposition, which have lasted up to seven hours. The distributed solar and storage industry has been very loud in voicing opposition as well, hosting a number of rallies outside of the CPUC headquarters and turning out thousands of solar workers with one request: don’t kill our solar jobs.  

Another upsetting element of the December 2021 proposed decision was the idea to dramatically reduce the amount solar customers are compensated for sharing their excess energy with their neighbors. Unfortunately, a dramatic reduction in export compensation is still on the table, however the question that remains is how quickly those amounts will decrease. The industry has spoken very loudly on this particular issue, stating that a drastic reduction in export compensation would completely halt the growth of solar across the state. 

It is clear that both the CPUC and Governor Gavin Newsom have heard the voices of opposition and felt the pressure to distance themselves from the December proposed decision, with the governor stating in a press conference that “there is more work to be done.” It is clear that the CPUC still has plans to make serious changes to net metering, which will undoubtedly slow solar adoption and lead to more climate injustices. 

Locally, advocates in San Diego have been very vocal in criticizing the CPUC, and this potential new proposal comes in the middle of San Diego Gas & Electric increasing their rates making San Diego the city with the highest price for energy in the country and resulting in one out of four San Diegans unable to pay their electric bills.

The timeline remains unclear, however a revised proposed decision could come out as early as July, with a vote as early as August. To learn more about how you can get involved to help save rooftop solar in California, visit our toolkit!

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Community Members and Elected Officials Celebrate Clean Energy Resilience Project at Boys & Girls Clubs of South County's Imperial Beach Club

The new clean energy system will generate nearly half a million dollars in savings, strengthen emergency preparedness and support healthier futures for local youth and families.

Community leaders, elected officials, youth, labor partners, funders and local residents gathered Wednesday at the Boys & Girls Clubs of South County's Imperial Beach Club to celebrate the completion of a clean energy resilience project designed to strengthen community preparedness, reduce operating costs and create a healthier future for Imperial Beach families.

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The project, a 25.5-kilowatt solar energy system paired with a 54-kilowatt-hour battery storage system, was installed by Aloha Solar Power, an International Brotherhood of Electrical Workers Local 569 union contractor, and made possible through a collaborative effort led by Hammond Climate Solutions Foundation and its partners. The system will help the Club continue serving youth and families during emergencies and power outages while strengthening community resilience and preparedness. The Club is expected to save approximately $12,000 in utility bills in its first year and more than $465,000 over the next 30 years, creating long-term financial benefits that will be reinvested into youth programs and services. 

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"For many families, the Boys & Girls Club is much more than an after-school program — it's a safe and trusted space where young people learn, grow and build community," said Stephanie James,  chief executive director of the Boys & Girls Clubs of South County. "This investment strengthens our ability to support the children and families who rely on us every day while helping us prepare for whatever challenges the future may bring."

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While Imperial Beach continues to face environmental challenges that have drawn regional, statewide and national attention, the event highlighted a different story — one of investment, partnership, dedication, community resilience and hope for a healthier future. Project partners celebrated a transformative investment that will create healthier environments, expand educational opportunities and strengthen long-term resilience for local youth and families.

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"Today's ribbon cutting is about more than clean energy. It is about ensuring that this club can continue serving young people and families when they need it most," said Supervisor Paloma Aguirre, who represents District 1 on the San Diego County Board of Supervisors and previously served as mayor of Imperial Beach. "It also represents a commitment to environmental justice. Communities that have experienced the greatest environmental impacts should be among the first to benefit from clean energy investments and modern infrastructure, but we know that that is not always the case."

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The project also creates opportunities for hands-on learning and workforce development, helping introduce young people to clean energy technologies and potential career pathways in sustainability and the skilled trades. Following the ribbon-cutting ceremony, Club youth participated in a hands-on solar oven demonstration led by Jim La Joie, inventor of the All Season Solar Cooker and founder of SolCook. The demonstration introduced youth to solar energy principles, solar cooking, and career opportunities in clean energy and sustainability.

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While the ribbon-cutting marked the completion of the solar and battery project, partners emphasized that it also serves as a foundation for future investments in health, education and resilience that will benefit youth and families in Imperial Beach and beyond.

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"While the ribbon-cutting marks the completion of an important project, the opportunities created by this investment extend far beyond today's celebration," said Tara Hammond, founder and executive director of Hammond Climate Solutions Foundation. "Through our Holistic Healthy Communities Pilot Program at the Club, we look forward to building on this foundation by advancing healthier indoor and outdoor environments, expanding climate education opportunities and helping create an even stronger, healthier and more resilient future for the youth and families served here."

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The Boys & Girls Clubs of South County's clean energy resilience project was made possible through a collaborative effort involving Hammond Climate Solutions Foundation, BQuest Foundation, Aloha Solar Power, IBEW Local 569, San Diego Community Power in partnership with the San Diego Foundation and Calpine Community Energy, along with philanthropic partners, donors and community members committed to advancing equitable climate solutions in the South Bay.

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Oceanside Greenhouse Gas Reduction Program Continues to Deliver Climate and Community Benefits

The Oceanside Greenhouse Gas Reduction Program is delivering measurable progress by advancing clean energy, reducing greenhouse gas emissions and investing in community-serving organizations across the city.

‍Oceanside, CA  — The Oceanside Greenhouse Gas Reduction Program is delivering measurable progress by advancing clean energy, reducing greenhouse gas emissions and investing in community-serving organizations across the city.

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Launched in September 2025, the current phase  of the program is already nearing completion on multiple projects just six months in. Funded by Preserve Calavera in partnership with the San Diego Foundation and managed by Hammond Climate Solutions Foundation, the initiative is part of a broader effort to strengthen local climate action, build community resilience and advance equitable climate solutions. Funded projects include solar and battery installations for nonprofit facilities and low-income households, along with expanded food recovery efforts that reduce waste and emissions while increasing access to fresh, healthy food. 

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At the Boys & Girls Clubs of Northwest San Diego’s Oceanside Clubhouse, critical pre-installation improvements have been completed, preparing the site for a solar and storage system that will reduce long-term electricity use and allow the organization to reinvest savings into youth programs. Investments in youth-serving organizations are also creating long-term community benefits and supporting local union jobs. “This gift is about so much more than solar panels. It’s an investment in our community, our future, and the young people who walk through our doors every day. By reducing our energy costs, we can direct more resources where they have the greatest impact supporting youth,” said Marineke Vandervort, CEO. 

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Similarly, the North County Alano Club has begun installation of a solar and battery system that will significantly lower operating costs and emissions.

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“Since the 1960s, the North County Alano Club has been helping alcoholics and other addicts recover from a seemingly hopeless state of mind and body — serving an average 4,000 people each month in 2025,” said Dan McSwain, a representative from the organization. “We rely 100% on donations, usually $1 at a time, and operate on a very tight budget. The result of this grant is reducing our overall expenses by 25 percent, allowing us to not only survive but thrive for decades to come.”

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In addition to clean energy projects, the program is advancing climate and food equity through ProduceGood’s CropCircle Collective initiative, which has already recovered nearly 3,000 pounds of produce and is scaling operations across Oceanside.

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“ProduceGood is focused on climate and social equity. Through the generous support of the Greenhouse Gas Reduction Program, the organization will increase food recovery by 100% in Oceanside while increasing access to fresh produce for hundreds of families.”

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The program also expanded access to clean energy for low-income households. A few lucky families were able to have no-cost solar and battery systems installed in Oceanside’s Communities of Concern. These installations are expected to deliver more than 24 metric tons of annual greenhouse gas reductions while lowering energy bills and providing backup power during outages.

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“Through the Oceanside Greenhouse Gas Reduction Program, this funding enables the delivery of no-cost solar plus battery systems to Oceanside households, directly reducing local emissions while strengthening community resilience,” said Ben Airth, Policy Director at Freedom Forever. “By keeping climate dollars in the community, the program helps lower electric bills and ensures families can maintain power when the grid is stressed. We are honored to work alongside Preserve Calavera and Hammond Climate Solutions Foundation to make these projects possible and hope this success paves the way for similar climate investments in other cities.”

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These projects demonstrate how targeted, community-based climate investments can reduce emissions, lower costs, lessen stress on California’s aging electrical grid, offer energy resilience and deliver meaningful benefits to the community.

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Additional announcements are expected as projects reach completion and further impacts are realized.

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2025 Solar Moonshot Program Wrapped

In 2025, the Solar Moonshot Program took a major step forward, expanding our reach, deepening our impact and providing real savings to nonprofits across the country and internationally.

The Solar Moonshot Program helps schools, nonprofits, tribal organizations and community organizations overcome financial and technical barriers to solar adoption, delivering long-term savings and climate benefits where they matter most. 

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In 2025, the Solar Moonshot Program took a major step forward, expanding our reach, deepening our impact and providing real savings to nonprofits across the country and internationally. In 2024, the Solar Moonshot Program supported 26 projects and deployed $x. In 2025, the program supported 63 projects, representing a 142% increase year-over-year, and deployed $x. We also surpassed our 200th grantee and over $4,00,000 in solar grants issued since the program's inception in 2020. 

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2025 Solar Moonshot Program grantees were located in 16 states, reaching a wide range of communities across the United States, as well as three international projects in Mexico, the Philippines and Africa. Our grantees included school districts, libraries, tribal facilities, food pantries, medical facilities, homes for children and other nonprofit service providers providing vital services for Communities of Concern, organizations that often operate on tight margins but play an outsized role in community well being. Together, these investments unlocked around $600,000 in estimated savings directly to nonprofits, which translate into more predictable operating costs, protection from rising utility rates, and the ability to redirect resources toward mission-critical services like education, healthcare, cultural programming and community resilience. Each project contributes to reducing carbon emissions, supporting local clean energy jobs, progressing  local, state and national climate goals, helping organizations invest in staff and programs and provides an opportunity for the community to learn more about clean energy and lessening climate injustices. These clean energy projects are also reducing climate injustices, supporting regional grid stability and offering crucial back-up power during emergencies.  

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The drastic jump in the amount of projects we were able to support signals the demand for clean energy solutions, which will only increase as federal tax credits will begin to diminish in 2026. We remain committed to processing applications as quickly as possible to help our grantees maximize available funding to make their solar dreams possible. 

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"Our new solar system will help reduce operating costs for the Clinton Community Hall for decades into the future. We couldn’t have moved forward without the support of the Solar Moonshot Program. In addition to the generous financial support, their program is super accessible and the folks we worked with were so helpful throughout the process. Just such an amazing resource for smaller non-profit facilities like ours that might not otherwise be able to get solar installed.”

  • Clinton Community Hall, Washington 

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“Funding through the Solar Moonshot Program provided support for our solar array on our new building. With this boost in funding, we were able to invest more deeply in mission-related aspects of our new space, including managing stormwater on site and planting native species, as well as developing educational exhibits and displays that communicate the importance of our work to protect the Newfound Watershed.”

  • Newfound Lake Region Association, New Hampshire

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We are grateful to the program’s generous funders who make this impactful program possible, including our 2025 supporters: BQuest Foundation, San Diego Community Power in partnership with the San Diego Foundation and Calpine Energy, anonymous donors in California and Wisconsin and Palomar. 

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To learn more about the program or to apply for a 2026 grant, visit www.solarmoonshot.org. 

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