NEM3: One of the biggest setbacks in California solar history.

If you’re considering a switch to solar energy, there’s something you should know. Under the new Net Energy Metering 3 tariff (NEM3) adopted by the California Public Utilities Commission, you stand to lose up to 75% on the value of your excess solar energy. NEM3 greatly reduces what utility companies will pay solar users per kWh, making this new tariff one of the biggest setbacks in California solar history. As a result, installations that once had a 3-4-year payback will now take over 9 years, making solar unfeasible for many.

Lock-in the excellent NEM2 tariff for the next 20 years.

There is good news in the midst of the coming debacle: the Public Utilities Commission has determined there will be no change to the current (and excellent) NEM2 tariff for 20 years for those who apply for solar interconnection by April 15, 2023. These projects will be grandfathered-in to take advantage of new federal ITC incentives that start at 30% and can rise as high as 50%, as well as state and federal depreciation incentives that can make solar energy projects an incredible investment.

How Barrier Solar will make it happen.

For Barrier to grandfather your solar project into the NEM2 tariff for the next 20 years, we will submit a completed application into the local utility that includes a full design, engineering and single line diagram of the proposed system, and ensure that the appropriate fees are paid to the local jurisdiction. These services are all provided for a nonrefundable deposit of $2,000. In the event your project becomes unrealistic due to cost increases, financing or other unforeseen items, Barrier will release you from the agreement. Additionally, for your protection, Barrier will not order materials or incur costs until a full, approved interconnection agreement has been received and a Full Notice to Proceed has been issued by you.

Getting around NEM3, moving forward with NEM2, step-by-step.

Here’s a streamlined look at the steps to ensuring your solar project bypasses the disastrous NEM3 tariff and is locked-into the current NEM2 tariff for the next 20 years:

• Agree to a proposed system price and size
• Execute Memorandum of Understanding, contract and Limited Notice to Proceed
• Pay the $2000 interconnection application deposit (once approved, deposit is applied to contract)
• Execute a Full Notice to Proceed once approvals have been granted by the utility

Needless to say, we are expecting a huge response as customers take advantage of what will be California’s last great opportunity for cost-effective solar. Time is absolutely of the essence – don’t delay!