California Confirms NEM 3.0 Rate Reform at the Expense of Residential Solar

California's First District Court of Appeal upheld the Net Billing Tariff (NBT) framework, known as NEM 3.0 (Net Energy Metering), affirming the 2022 decision by the California Public Utilities Commission (CPUC). The court validated the reform that reduced export credits by 75 to 80 percent for residential solar panel owners for electricity fed back to the grid. This ruling, rendered following a referral from the California Supreme Court, dealt a major setback to opponents of this rate reform.