The California Legislature recently approved two bills aimed at expanding access to solar energy for renters, condominium residents, and others without access to rooftop installations. The measures seek to broaden participation in solar power through community solar programs and plug-in “balcony solar” systems.

On Sunday night, lawmakers passed Assembly Bill 1813, which directs the California Public Utilities Commission (PUC) to develop more comprehensive community solar programs. These programs allow residents to subscribe to solar arrays located near their homes and receive monthly credits on their electricity bills. Assemblymember Chris Ward, who authored the bill, emphasized the goal of making California’s clean energy transition equitable, arguing that benefits should extend beyond those who can install rooftop panels.

Alongside AB 1813, the Legislature approved Senate Bill 868, legalizing plug-in solar systems. Sometimes called balcony solar, these small panels can be placed on patios or fences and plugged directly into wall outlets, offering an easier pathway for renters and others to lower their electricity costs without navigating complex utility approval processes. Sen. Scott Wiener, the bill’s sponsor, noted that such systems could reduce household energy bills by several hundred dollars annually.

The passage of these bills comes after a period of declining rooftop solar installations in California. In 2022, installation rates dropped following cuts to customer incentives by the PUC under Gov. Gavin Newsom’s administration. Utilities argued that high compensation rates for rooftop solar customers shifted grid maintenance costs disproportionately onto non-solar customers, an issue that has carried over to debates about the new bills.

Investor-owned utilities, including Pacific Gas & Electric (PG&E) and Southern California Edison (SCE), opposed both measures. PG&E succeeded in adding a sunset clause to the balcony solar bill, requiring the Legislature to reauthorize it by 2030. PG&E also expressed concerns over safety and certification, cautioning that plug-in solar devices must meet national safety standards before widespread use. The bill, if signed, will take effect once systems receive certification from nationally recognized labs such as UL Solutions, similar to those already established in Germany.

Utilities also oppose the community solar bill AB 1813, arguing it would increase costs for customers who do not participate. PG&E stated that the legislation benefits solar companies rather than addressing customer affordability. The Public Advocates Office, representing consumers at the PUC, warned that the bill could shift about $1.5 billion annually in costs to non-participating ratepayers, potentially raising monthly bills by approximately $12 for those customers.

Southern California Edison raised similar objections, suggesting the bill would impose higher rates and costs compared to alternative clean energy solutions.

In response, Assemblymember Ward pointed to studies indicating that expanding community solar could result in widespread consumer savings by reducing reliance on gas generation, electricity imports, and transmission expenses. He and a coalition of environmental groups and advocacy organizations have long sought reforms to the current PUC program, which they say inadequately compensates community solar projects.

Wiener underscored the importance of both bills in allowing individuals and communities to move beyond traditional utility models and gain more control over energy generation and costs.

Additionally, the Legislature passed Senate Bill 913, which would enable the aggregation of consumer-owned energy resources—including batteries, electric vehicles, and smart thermostats—to be recognized as a reliable electricity source for the grid. Supporters argue this will help reduce grid strain and keep electricity prices affordable while allowing customer-owned technologies to compete fairly in the energy market.

Both AB 1813 and SB 868 now await Gov. Newsom’s signature, with community solar reforms facing a more uncertain path due to prior opposition from the governor-appointed PUC.