The tariff change in Hawaii also differs from Nevada in the sense that the new rate for selling back excess power, while roughly half of the retail rate, is still 15 – 28 cents per k Wh[3] (due to the high wholesale energy rates in Hawaii) and likely still valuable enough to justify many PV projects.

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As a result, many PV system owners may not even recoup their investment.

This kind of government bait and switch is very harmful to consumer trust and industry sustainability, and further, strains the ability to add new industry-related legislation down the road for fear about its impermanence.

We’ll dive deeper into this topic in a separate blog post later this year.

But the Nevada PUC isn’t the first commission to file such rulings.

While the examples of Nevada and Hawaii are strikingly different from each other, they represent a potential sea change that could be seen in many other states as utilities continue the push to recapture revenues lost to solar generation and grid planning costs associated with preparing for higher circuit penetration rates on their lines.

So far in solar’s journey, net metering has been the secret sauce for many sectors that makes the generation profile of solar make economic sense.Those credits are used at night when loads are typically higher in the house and the PV system is not generating.Historically, net metering rules have given a 1:1 credit for excess generation meaning every excess k Wh generated is a k Wh credited.The credit is now extended through the end of 2019 at the 30% level, and will step down to 26% in 2020, 22% in 2021, and 10% in 2022 and future years.Geothermal heat pumps continue to be eligible for a 10% ITC through the end of 2016, and geothermal electric systems are eligible for a 10% ITC through 2022 and future years.Currently, this mechanism of shifting energy generation from daytime to nighttime using credits is what helps incentivize and fuel solar growth at the consumer level.