How does the California Rate Relief Program work?

We install solar panels on your roof at no cost out of pocket. Instead of paying your utility company a different amount every month, you pay a fixed monthly payment that is typically 30 to 50% less than what you are currently paying. The program covers 100% of the cost for solar panels, backup batteries, and installation.

Who qualifies for the Rate Relief Program?

California homeowners with SCE, PG&E, or SDG&E as their utility provider, monthly electric bills of $150 or more, and a credit score of 650 or above typically qualify. Renters are not eligible for this program.

Is there any cost to the homeowner?

There is $0 out of pocket cost. The program covers the full cost of solar panels, battery storage, and professional installation. Instead of paying your utility company, you simply pay a lower, fixed rate for the power generated by the system on your roof.

What happens if something breaks?

The program includes a comprehensive 25-year bumper-to-bumper warranty. If a panel breaks, it gets fixed. If an inverter fails, it gets replaced. All maintenance and repairs are covered at no cost to you for 25 years.

Which utility companies are supported?

The program currently supports homeowners with Southern California Edison (SCE), Pacific Gas & Electric (PG&E), San Diego Gas & Electric (SDG&E), Moreno Valley Utility (MVU), and Los Angeles Department of Water and Power (LADWP).

VNEM & NEM Aggregation California: Multi-Meter Commercial Solar

Most California commercial properties have more than one utility meter — one for common areas, separate meters for each tenant, different meters for different buildings on the same parcel. Standard net metering credits only the meter the solar is interconnected through, which leaves most of the property's consumption uncovered. California's Virtual Net Energy Metering (VNEM) and NEM Aggregation rules solve this problem by letting one solar array credit multiple meters on the same or contiguous parcels. Here's how the rules actually work in 2026 and what changed with AB 2175.

VNEM vs NEM Aggregation: The Core Difference

Both VNEM and NEM Aggregation let a single solar facility offset multiple utility accounts on the same property, but they're structured differently:

VNEM (Virtual Net Energy Metering). Designed for multi-tenant commercial or residential properties under a single owner/operator (office buildings, shopping centers, apartment complexes, mixed-use). The solar array is on common-area infrastructure, and credits are allocated to individual tenant accounts per a pre-defined schedule filed with the utility.

NEM Aggregation. Designed for a single owner/operator with multiple meters across their own property — e.g., a farm with a house meter, barn meter, and well-pump meter, or an industrial property with a main-building meter and separate ancillary-building meters. Credits from one solar array offset all the aggregated meters.

What VNEM Enables

For a multi-tenant commercial property, VNEM is often the only way to make solar economically viable. Without VNEM, the property owner would need to put solar on each tenant's meter individually — logistically impossible in many cases because of roof-access, tenant turnover, and splitting a single roof array across tenant meters.

With VNEM, the owner installs one solar array, allocates the electricity credits per pre-defined rules, and benefits can be distributed to tenants (lower their bills, increase rentable-property-value), to common areas (reducing owner's operating cost), or a combination. The credit allocation schedule is locked when the system is interconnected but can be amended with utility approval if ownership or tenancy changes.

VNEM Under NEM 3.0 / NBT-A

With NEM 3.0 / the Net Billing Tariff replacing retail-rate export credits with avoided-cost rates, VNEM also transitioned. New VNEM projects on investor-owned utilities (PG&E, SCE, SDG&E) submitted after April 2023 are under Virtual Net Billing Tariff (VNBT-A) rules, which apply the same avoided-cost export compensation as residential NEM 3.0.

Legacy VNEM arrangements (pre-April 2023) continue under NEM 2.0 rules for the duration of their grandfather period (typically 20 years from interconnection). New commercial VNEM projects face the same self-consumption-favors-storage economics as residential NEM 3.0 — driving inclusion of on-site battery storage in most new commercial multi-meter projects.

AB 2175 and Expanded Eligibility (2025-2026)

California Assembly Bill 2175, enacted in the 2025-2026 legislative cycle, expanded VNEM eligibility for logistics and manufacturing businesses that operate across multiple meters on contiguous or nearby parcels. Prior rules were stricter on what counted as a single property for aggregation purposes. AB 2175 broadens the definition and explicitly enables more industrial multi-meter configurations.

Practical impact: distribution warehouses, manufacturing campuses, and logistics centers with multi-building operations now have a clearer path to single-array solar that credits their whole operation. Confirm with your project EPC and utility that your specific configuration qualifies — AB 2175's implementation details are still being finalized with individual utility tariffs.

Utility-Specific Details

VNEM and NEM Aggregation are implemented at the utility level, so the specific tariff schedules, application procedures, and eligibility rules differ by utility:

•PG&E: Offers VNEM under Schedule NEM-V and aggregation under Schedule NEMA. New interconnections under the NBT-A framework.
•SCE: Offers VNEM under Schedule NEM-V and aggregation. New projects under NBT equivalent.
•SDG&E: Offers VNEM and aggregation with similar structure.
•Municipal utilities (LADWP, SMUD, etc.): Have their own NEM rules that differ from CPUC-regulated IOUs. Check the specific utility's commercial solar interconnection handbook.

Common Use Cases

Multi-tenant office building. VNEM allocates roof-array credits across tenant meters + common areas. Owner benefits from reduced common-area cost; tenants benefit from lower bills (increased rentable-value).

Shopping center with anchor + inline stores. VNEM lets a rooftop or carport solar array serve the anchor tenant's high daytime load while allocating remaining credits to smaller tenants.

Agricultural operation with house + barn + well meters. NEM Aggregation aligns solar production against all farm-side loads, maximizing the offset across seasonal pumping needs.

Industrial campus with multiple buildings. Post-AB 2175, logistics and manufacturing campuses can aggregate meters more easily. One ground-mount or rooftop array serves multiple building meters.

Apartment complex. VNEM for common areas (laundry, lobbies, garage lighting, pool pumps) is well-established. Tenant-account allocation is more complex and depends on ownership structure.

Frequently Asked Questions

Can one solar array credit multiple meters in California?

Yes — via VNEM (Virtual Net Energy Metering) for multi-tenant properties or NEM Aggregation for single-owner multi-meter properties. Both are CPUC-regulated tariffs offered by California's investor-owned utilities.

Does VNEM work under NEM 3.0?

Yes, but new VNEM projects are under the Virtual Net Billing Tariff (VNBT-A) with avoided-cost export compensation rather than the legacy retail-rate credits. Economics favor self-consumption and on-site storage. Legacy VNEM projects are grandfathered for 20 years from interconnection.

What did AB 2175 change?

AB 2175 (2025-2026) expanded VNEM eligibility for logistics and manufacturing businesses with multi-meter configurations across contiguous or nearby parcels. Prior rules were stricter on what counted as a single property for aggregation.

Can I use VNEM for my apartment building?

Yes for common-area offset. Tenant-account allocation depends on your ownership structure and specific utility tariff. Consult with an EPC familiar with multifamily VNEM and your local utility's specific schedule before assuming tenant allocation will work.