AB 920: Payback for small solar investors

Installing solar power generation systems still requires a significant upfront cost and slow return on investment for most homeowners. Under the state’s net metering law, utility companies have been allowed to receive surplus solar electricity from their customers without compensating them for the surplus power they generate. AB 920 (Huffman) requires utility companies to write a check to their customers for surplus solar electricity generated on an annual basis. It also requires the Public Utilities Commission to set a rate at which utility companies will compensate solar customers for power sold back to the grid.