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The new tariff institutes a new, higher fixed monthly charge (i.e.

independent of energy use) for net metering customers and implements a tiered de-escalation of the ‘credit’ these customers receive for their excess generation.

The same legislation saved the Energy Investment Tax Credit (ITC), and the solar energy industry, from certain doom.

Previously, the ITC for solar energy was set to reduce to 10% after December 31, 2016.

Utility-scale wind projects continue to be eligible to claim the ITC in lieu of the PTC as long as the PTC is in effect.

Now that the solar energy industry is no longer peering anxiously into the abyss of a world without the ITC, we can start thinking about the type of ancillary effects this extension might have.

The idea is that as solar costs continue to drop and project economics remain buoyed by the ITC, the case is stronger for utilities to claim losses and expenses as a result of increasing solar adoption.What this amounts to is that solar energy producers will not be credited for excess generation during the day in the way they’ve historically been used to, making pay-back periods much longer and threatening economic viability of many projects altogether.The PUC hearings for these rulings received enormous press and included testimony from stakeholders across the energy industry such as high profile energy developer Elon Musk, Solar City board chairman.As a result, many PV system owners may not even recoup their investment.This kind of government bait and switch is very harmful to consumer trust and industry sustainability, and further, strains the ability to add new industry-related legislation down the road for fear about its impermanence.Lizenziert in der Europäischen Union (EU) (Regierung Malta).

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