Idaho PUC Slashes Rooftop Solar Net-Metering Rates, Sparking Controversy
The Idaho Public Utilities Commission (PUC) has finalized a significant reduction in net-metering rates for rooftop solar owners. The decision, which follows Idaho Power's April proposal, has sparked controversy, with 88% of public comments opposing the move. The PUC, however, has made some adjustments to address industry concerns.
The new export credit rates are 65 cents/kWh for summer on-peak, 39 cents/kWh for summer off-peak, and 90 cents/kWh for non-summer hours. This means rooftop solar owners will receive 31% less compensation for excess energy sent to the grid. The PUC has also suspended annual updates to the export credit rate until 2028 to reduce uncertainty for customers and the solar industry.
The PUC's decision was based on Idaho Power's study, which valued excess solar energy at 2.8 to 4 cents/kWh. However, an independent study valued it at 18.3 cents/kWh, leading to criticism of Idaho Power's methodology. The PUC will consider petitions for reconsideration until Oct. 21, with the next formal comment opportunity in April 2028.
The PUC's decision comes into effect alongside a $15 fixed monthly fee for electric bill ratepayers, up from the previous $5, imposed by Idaho Power in January 2024. While Lisa Young of the Idaho Chapter of the Sierra Club opposes the solar rate changes, she appreciates the PUC's adjustments, such as the suspension of annual updates and the consideration of petitions for reconsideration.
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