California’s solar landscape is buzzing—and not always for the reasons we’d hope. Two years after Net Energy Metering (NEM) 3.0 rolled out in April 2023, its ripple effects are still shaking things up in 2025. At Precis Solar, we’re here to break it down and show you why now’s the time to take control of your energy future.
The NEM 3.0 Lowdown
If you’re new to the NEM saga, here’s the gist: NEM 3.0 slashed the compensation rate for excess solar energy sent back to the grid by about 75%, dropping from roughly 30 cents per kWh under NEM 2.0 to a measly 5-6 cents today. The goal? To balance utility costs and reduce the burden on non-solar customers. The reality? It’s changed the game for homeowners considering solar—and not everyone’s thrilled.
Fast forward to March 2025, and the fallout continues. A recent report dropped a bombshell: subsidies for pre-2023 solar owners (those lucky folks grandfathered into NEM 1.0 and 2.0) might be on the chopping block. Utilities like PG&E are pushing hard, claiming non-solar customers are footing an $8.5 billion annual bill to maintain the grid while solar users cash in on higher credits. Their solution? Adjust rates, which could mean higher electricity costs for everyone—solar or not.
Why It Matters Now
This isn’t just policy wonk talk—it hits your wallet. With NEM 3.0 making grid exports less profitable, solar’s value has shifted toward self-consumption. Pair that with rising utility rates (think wildfire mitigation costs and peak Time-of-Use pricing topping 50 cents/kWh), and the pressure’s on. The California Public Utilities Commission is under fire, and homeowners are caught in the crosshairs.
But here’s the silver lining: solar isn’t down for the count—it’s evolving. At Precis Solar, we’re seeing a surge in demand for solar-plus-storage systems. Why? Batteries let you store your daytime solar power and use it during those pricey evening hours, sidestepping NEM 3.0’s low payouts and shielding you from rate hikes. It’s energy independence, California style.
The Bigger Picture
The NEM 3.0 debate ties into a larger tug-of-war. Utilities want cost equity; solar advocates argue it stifles clean energy growth at a time when California’s chasing 60% renewables by 2030 (thanks, Senate Bill 100). Meanwhile, your electric bill keeps climbing—PG&E alone is spending $18 billion through 2025 on grid upgrades, and guess who’s paying for it?
What You Can Do
You don’t have to sit back and watch your savings vanish. Solar still makes sense in 2025—especially with the right strategy. Here’s why Precis Solar is your go-to:
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Custom Solutions: We design systems to max out self-consumption, pairing solar with cutting-edge batteries to beat NEM 3.0 at its own game.
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Cost Savings: Dodge those rising utility rates and lock in predictable energy costs.
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Future-Proofing: With California’s clean energy mandates in full swing, solar keeps you ahead of the curve.
The NEM 3.0 fallout might feel like a curveball, but it’s also a wake-up call. Solar’s not just about credits anymore—it’s about taking charge of your energy destiny.
Ready to Make the Switch?
Don’t let rising costs and policy shifts dim your savings potential. Contact Precis Solar today for a free, no-pressure solar quote tailored to your home. Our team’s ready to help you navigate NEM 3.0 and beyond—let’s power up your future together!