Federal research says California solar mandate could increase housing prices

California Mandates Solar Panels on All Newly Built Homes

The new building standard - unanimously approved by the five-member California Energy Commission - would be the first such statewide mandate in the nation.

The recent decision by the California Energy Commission to mandate solar on all new residential buildings starting from 2020 has had a noticeable impact on GTM Research's solar forecast for the Golden State, bumping it up by 14% over 4 years, or around 650 megawatts (MW).

The California Energy Commission estimates that the new standards will add about $40 to an average monthly payment based on a 30-year mortgage.

Builders can make individual homes available with solar panels or build a shared solar-power system serving a group of homes. After obtaining favourable results, solar panels should be made mandatory in privately-owned residential and commercial plots. With around 850 MW of large scale solar now under construction, and close to a further 1.2 GW having reached financial close and set to break ground, 2018 is shaping up as a record-breaking year for large scale solar. "All up, large-scale solar activity in the state adds up to nearly 2670 direct jobs and 1400 MW of new clean energy".

California, the most populous state, with almost 40 million people, has positioned itself as the nationwide leader on clean energy, pushing for more electric vehicles on the roads and lower emissions from homes and commercial buildings.

California first US state to require solar on new homes

"Under these new standards, buildings will perform better than ever, at the same time they contribute to a reliable grid", said Commissioner Andrew McAllister, who is the Energy Commission's lead on energy efficiency.

But Republican legislative leaders argue Californians can not afford to pay any more for housing in what is already an extremely expensive market. It applies to single-family houses and multifamily units that are three stories or under.

The regulations include exceptions for when solar panels aren't cost-effective or feasible, such as on a home shrouded in shade.

"Large-scale solar has gone from an emerging technology in Australia at the beginning of the decade to a genuinely game-changing form of power that is cheaper than new coal or gas".

In accordance with Turkish EMRA's revised legislation in January, Turkish citizens are allowed to install solar panels with a maximum capacity of 10 kilowatts with less red-tape than previously.



Other news