Solar energy users seek fair buyback rates from Arizona Corporation Commission

The Arizona Corporation Commission met on Wednesday and voted 3-2 to review the state’s buyback rates for solar rooftop energy. Those incentives deal with users with extra energy; they then can export that power to the grid and get credit for their energy bill.

In 2017, the commission made a policy where utility companies could cut the credit solar homeowners would get by 10% every year for ten years. Ahead of the meeting, hundreds of residents were worried the commission wanted to change the policy for more significant cuts, and current solar users would be included in that change.

One commissioner, however, said current solar customers would not be included in the change—but believes they will be once the ten years of their lock-in is up in 2027.

Solar companies tell Arizona’s Family that reduced rates will make solar rooftops less attractive to homeowners because they won’t save much money to convert. The nonprofit Solar United Neighbors tells Arizona’s Family there are more than 250,000 Arizonans with solar power.

One business owner said he would move to another profitable state if the rates were reduced too much, a move that would mean fewer solar jobs in the state.

“It’s really hard to be able to want to invest our business and into the area, not knowing. If the changes happen, then we’ll have to find another area to move for our business,” said Jimmy Lee, the owner of Solar Power Couple

For now, the commission has decided to further the discussion at a future hearing. Another discussion isn’t expected to take place for several months from now. However, green energy advocates and solar energy groups like Vote Solar say they will continue to voice concerns and plan to fight if there are any new rate changes.