Californians who have solar panels installed on their roof tops and generate some excess electricity, have some good news. The state on Thursday decided to retain a system which compensates the users for the excess electricity. It's not the same with all other states like Nevada and Hawaii.
The Golden State took a decision to support the full retail-price payments which the solar customers get for selling their excess power, back to the state's grid. California has the maximum number of residential solar customers compared to any other US state. After a close watch, the regulators decided on the issue. The state of California accounts for approximately half of the residential solar market nationwide.
The news turned out to be a boost for shares of solar companies like Sunrun Inc. Its shares scaled twenty one percent following the news. But everyone did to appreciate the decision including state's investor-owned utilities. The decision was not easy to take as, along with a spur in renewable energy sector even it has to be kept in mind that the power-line owners have channels to collect adequate revenue.
In the past month, Nevada regulators decided to hike fees for solar-panel owners and also trim their payments which pushed solar companies like SolarCity Corp. and Sunrun to cut jobs and shutter operations in certain locations.