Hello From San Diego!

[wheaton4prez]

Not sure if you've heard about NEM 3.0 but you might want to accelerate your plans and get in under NEM 2.0. By accelerate I mean get some quotes like yesterday.

Even if it goes through as-is, export credit is going to get slashed, especially on SDG&E. The proposed decision right now is aimed at pushing your payback out a few more years. The IOUs are still trying to get the monthly tax added back in and they are not happy about it getting removed in the latest PD.

Become familiar with your Green Button data, https://pvwatts.nrel.gov/pvwatts.php, https://www.californiadgstats.ca.gov, grab an Emporia Vue Utility Connect, and get your system ordered ASAP.

Thank you. I did hear about that from one of the vendors. They said it's being voted on in a week and then there is a 120 day grace period before it goes into effect.

It feels like this might be why some vendors are hard to reach and are raising prices. There is likely a big push for installs right now to get in on 2.0.

This vendor claimed that the cost from SDG&E would go from $10 a month to $100 a month (including the export change). To me, that sounds a bit implausible since it would make getting solar at all a lot less attractive. But, I guess maybe that is the goal for some parties?

[OCJ]

Thank you. I did hear about that from one of the vendors. They said it's being voted on in a week and then there is a 120 day grace period before it goes into effect.

It feels like this might be why some vendors are hard to reach and are raising prices. There is likely a big push for installs right now to get in on 2.0.

This vendor claimed that the cost from SDG&E would go from $10 a month to $100 a month (including the export change). To me, that sounds a bit implausible since it would make getting solar at all a lot less attractive. But, I guess maybe that is the goal for some parties?

It has passed as of yesterday. The per-kW roof charge was removed from the previous proposed decision, so that's old news.

The biggest two changes are 1) You will have to switch to EV-TOU-5 instead of being able to use TOU-DR1 or EV-TOU-2. EV-TOU-5 comes with a $16 fixed charge, so at true up you will have that $192 fixed charge, plus NBCs, minus climate credit. And 2) export rate is no longer at retail rate, it's going to be approximately 25% of what you would get on NEM 2.0.

The goal behind it is to push payback out to 9 years.

NME 1.0 and 2.0 remain unchanged.

I would do your best to get in under NEM 2.0. From what I understand, you only need the site survey and the associated documentation to file the interconnect agreement. Install can be completed later. If installers increase prices in the short term you'll have to do the math to see if getting on NEM 2.0 at a higher install price outweighs the fixed charge and export reduction.

Good luck!

[wheaton4prez]

It has passed as of yesterday. The per-kW roof charge was removed from the previous proposed decision, so that's old news.

The biggest two changes are 1) You will have to switch to EV-TOU-5 instead of being able to use TOU-DR1 or EV-TOU-2. EV-TOU-5 comes with a $16 fixed charge, so at true up you will have that $192 fixed charge, plus NBCs, minus climate credit. And 2) export rate is no longer at retail rate, it's going to be approximately 25% of what you would get on NEM 2.0.

The goal behind it is to push payback out to 9 years.

NME 1.0 and 2.0 remain unchanged.

I would do your best to get in under NEM 2.0. From what I understand, you only need the site survey and the associated documentation to file the interconnect agreement. Install can be completed later. If installers increase prices in the short term you'll have to do the math to see if getting on NEM 2.0 at a higher install price outweighs the fixed charge and export reduction.

Good luck!

Thank you. The 3.0 is pretty remarkable. I don't know what kind of smoke-filled room deals happened around that. But, it seems like it won't stand because it makes solar not worth it...

I am indeed pushing to get the "PTO" in place before the cut-off (April 14th I believe).

A lot of places do have high prices right now. But, I found a few that are ok. What do you think about Tesla?

[OCJ]

I have a Tesla system and am happy with it. I ordered it in January of this year. $2.50 per watt and 2.99% financing.

Because they are lower priced the demand is high, so I doubt you will get in under NEM 2.0 with Tesla. Unless you are aggressive about getting an install going it's doubtful you will get in under NEM 2.0 with any vendor.

Your best bet aside from aggressively scheduling an install at this point is to try to calculate or see if people are calculating optimal sizing with NEM 3.0, or whatever they are calling it. It's supposed to "encourage" batteries but batteries are still expensive.

Now after this NEM 2.0 rush things may settle down and demand may drop, and pricing may or may not drop with it. Certainly the economics and payback will have to be recalculated.

[wheaton4prez]

I have a Tesla system and am happy with it. I ordered it in January of this year. $2.50 per watt and 2.99% financing.

Because they are lower priced the demand is high, so I doubt you will get in under NEM 2.0 with Tesla. Unless you are aggressive about getting an install going it's doubtful you will get in under NEM 2.0 with any vendor.

Your best bet aside from aggressively scheduling an install at this point is to try to calculate or see if people are calculating optimal sizing with NEM 3.0, or whatever they are calling it. It's supposed to "encourage" batteries but batteries are still expensive.

Now after this NEM 2.0 rush things may settle down and demand may drop, and pricing may or may not drop with it. Certainly the economics and payback will have to be recalculated.

Thank you.

Tesla was at $2.55 per watt for me. So, not much change there. But, they didn't seem to have that financing any more. Now they only have 10 year financing at 6.9%.

According to the vendors, it's not too late to get into NEM 2.0. You just have to have the initial paperwork submitted before April 14th. I'm told that if I were starting the project in February, then it would probably be too late for NEM 2.0.

[OCJ]

Thank you.

Tesla was at $2.55 per watt for me. So, not much change there. But, they didn't seem to have that financing any more. Now they only have 10 year financing at 6.9%.

According to the vendors, it's not too late to get into NEM 2.0. You just have to have the initial paperwork submitted before April 14th. I'm told that if I were starting the project in February, then it would probably be too late for NEM 2.0.

Yes, 10 year financing is no longer 2.99% like mine. I hear it was even lower in 2021. It's still the cleanest financing you can get outside a credit union. No dealer feels, no markups.

Technically yes it is not too late to get in under NEM 2.0, but you need to be at a certain stage in the process. You need to sign the contract, schedule and have the site survey, then the vendor needs to create the diagram, and send your contract, diagram, interconnect application, and oversizing document (if needed) in to secure your spot.

To get to *that* stage will take time depending on the load on the vendor and their skill/experience. NO vendor will guarantee you that they will meet that date. Each of those steps takes manpower and time which will be spread out depending on how many installs they are lining up.

You just have to have the initial paperwork submitted before April 14th.

Hopefully I broke down the "just have to have initial paperwork" piece of this enough for you to see it doesn't happen automatically and is not guaranteed to happen in time.