Solar Friendly Rate to End Forever - PG&E Closing A-6 Rate on March 31, 2017

The best commercial solar rate in California is going to end… permanently. The time to change your rate schedule is now.

What makes the PG&E Rate A-6 “solar” friendly is that it doesn’t charge businesses for the maximum peak of consumption (demand charges). This tariff only charges customers for the energy that they actually consume. All excess energy, is then banked for later use with Net Energy Metering (NEM) at the full retail rate.

All businesses considering installing solar must consider switching to PG&E Electric Schedule A-6. Effective April 1, 2017, A-6 will be permanently closed to new customers. All PG&E customers on A-6 prior to the closure will be grandfathered to its terms for 10 years.

Getting on PG&E Rate A-6 ASAP

Per PG&E, any customer interested in a commercial solar installation with a maximum demand of 75 kW or greater or with usage of 150,000 kWh per year or greater, who sends PG&E a certified letter (with return receipt to establish a deliver record date on or before March 31, 2017) requesting a rate change pursuant to Electric Rule 12, shall be allowed to take service on Schedule A-6.

Considerations prior to making rate change to A-6 include knowing that energy costs will increase significantly for all buildings switched to A-6 until their solar installation is turned on (additional costs can be as high as 30%-50%). Once a business switches to A-6, they cannot change their rate again for one year.

Currently, businesses stay on PG&E’s A-10 rate and switch to A-6 after the solar system is turned on, but with the permanent closure of A-6, businesses can no longer wait to switch, and must decide now, and have a certified mail receipt from PG&E on or before March 31, 2017. Future A-6 eligibility will be reviewed annually and migration of ineligible customers will be implemented once a year in November.

Compared to the A-6 Rate, staying on the commercial solar rate A-10 reduces the economic benefits of rooftop solar by over 30%.

For more information, please contact the Clean Solar – Commercial Solar Division.