California’s NEM 3.0 Starts in April – Are You Ready?
April 4, 2023
Much to the disappointment of the state’s solar industry, California’s Public Utilities Commission has chosen to move forward with the new net metering rules of NEM 3.0. This has squashed the optimism that many had after appeals were launched, leaving contractors anticipating a downturn in customer interest.
Have you prepared for the effects of these new changes? If not, it’s critical to adjust your marketing approach now. We dive into the whys and hows below.
NEM 3.0 Starts April 15th
There are only a couple of weeks left until NEM 3.0 goes into effect. After April 14th, solar customers who complete and submit interconnection applications to their utilities will no longer be eligible for net metering.
Instead, they will be able to participate in “net billing”, a compensation structure that will extend the payback period of a solar investment. What was once a 5 to 6 year wait for ROI is now projected to be about 9 to 10. That’s because solar energy credits are being cut by ~75% compared to the old rates under NEM 2.0.
This kind of drastic change is set to scare off many homeowners who would otherwise be interested in solar. Such an effect was already seen in Nevada, where a 2017 rate cut and $35 fee addition caused residential solar adoption to drop by a whopping 90%.
Customers already have a difficult time deciding to pull the trigger on such a big investment. With diminished returns, their hesitation only grows. California’s residents will no longer see solar as a great savings opportunity – meaning one of the primary motivators of solar adoption is fading.
Don’t Let NEM 3.0 Curtail Your Solar Appointments
With the rollout of NEM 3.0, more homeowners will be wary of solar’s investment value. This is bound to reduce the solar appointment leads available in the market – but that doesn’t mean your numbers have to dip too. Partnering with the right agency can ensure that you keep sourcing as many solar leads as you need, even when they’re the most scarce.
Grid Freedom is one of the agencies currently leading the industry, providing solar contractors immediate access to top quality solar leads. Every lead is delivered on an exclusive basis, with the first consultation appointment already booked. You’re able to easily fill your calendar with as many confirmed appointments as you need to secure your monthly goals.
There are no signup fees, membership dues, or contracts to sign. Membership is 100% free, with the freedom to source the exact number of leads you need at any given time. You’re never forced to buy in bulk, or share the leads you’ve paid for with other contractors. Grid Freedom offers the best terms found in the market.