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CA Assembly Rejects Million Solar Roofs Bill

September 9, 2005 | 20 Comments

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Sacramento, California [RenewableEnergyAccess.com] Last minute efforts to resolve the debate over prevailing wages and licensing failed to save SB 1, the Million Solar Roofs bill, in California's Assembly.

"We can go to the PUC and implement the policy of SB 1, and that is where we will be going."

--Richard Costigan, the Governor's lobbyist

Governor Arnold Schwarzenegger's administration, which supported the bill throughout, lost the political struggle with California assembly and in particular Speaker Fabio Nunez, D-Los Angeles. It now appears likely that the Governor will ask the Public Utilities Commission (PUC) to implement a solar program using SB 1 as a guideline.

The PUC could act on the program as early as November, according Richard Costigan, the Governor's lobbyist. "We can go to the PUC and implement the policy of SB 1, and that is where we will be going," Costigan said.

After being passed by California's Assembly Appropriations Committee with what RenewableEnergyAccess.com earlier termed "bittersweet amendment changes aimed at appeasing various interest groups."

SB 1's cost savings incentives for solar energy would have helped Californians install 3,000 MW of solar power capacity panels on homes and businesses over the next ten years, however, the amendments for prevailing wages and licensing splintered the bill's support.

[Editor's Note: RenewableEnergyAccess.com will continue to update this report, and add expert commentary as it develops. Please use Reader Comments below to share your views.]

Where Does California's Million Solar Roofs Initiative Go From Here
by David Hochschild, The Vote Solar Initiative

Late Thursday night, the California's Million Solar Roofs bill died when the Legislature ended the 2005 session. Originally proposed by Governor Schwarzenegger in 2004 and supported by legislators from both parties along with a broad range of solar industry, environmental and public interest groups, the bill would have created ten years of incentives for solar energy to help Californians install one million rooftop solar energy systems on our homes and businesses.
Click to read the full article.

Interview: Jan McFarland of PVMA and ASPV

In the flurry of activity following the defeat of SB1 by the California Assembly RenewableEnergyAccess.com formed a quick conversation with Jan McFarland, Executive Director of both the Photovoltaic Manufacturer's Association (PVMA) and Americans for Solar Power (ASPV), and formerly Executive Director of the California Solar Energy Industries Association. She devoted months to working up front and behind the legislative scene on SB1. Here's what Ms. McFarland had to say:
Click to read the full interview.

Million Solar Roofs Bill Dies in California Assembly
by Bernadette Del Chiaro, Environment California

The Million Solar Roofs bill, the biggest solar power policy considered in the nation, was killed again by the California Assembly today after months of high-profile attention and bipartisan votes in both chambers.
Click to read the full article.

Additional Information

Solar Energy

20 Reader Comments

Comment
1 of 20

tripp-bishop-28613

September 9, 2005

So how are you blaming the republicans for the demise of this bill? I don't think that objecting to the ridiculous IBEW riders is stupid or cheap. The "admendments" ruined this bill. Look at the broad spectrum of folks who were forced to retract their support of this bill. This includes the solar contractors. I don't see how you can blame the republicans for the demise of SB-1.

Comment
2 of 20

nate-bourell-38095

September 9, 2005

I blame the labor unions in part for being stubborn, but I mostly blame the republicans for being stupid and cheap. Every single government operation wastes money on paying the employes, but the money wasted in this case would have been compleatly outweighed by the benafits. I hope that the next draft of the bill gets passed. I just think that this is another sad example of the fact that we can't afford to wait on our government to offer insentives to renewable energy. Until the general public wakes up to the obvious necessity and benafits of renewable energy, we are on our own. We have to lead by example to convince the people that renewables are superior to fossile feuels, we can't rely on lobiests to get the government to act.

Comment
3 of 20

wesley-harris-34787

September 9, 2005

I blame the Labor Unions for this...screw labor unions

Comment
4 of 20

kathleen-rolinson-30788

September 9, 2005

Partisan politics and catering to special interests is really what killed this bill. Both sides need to take the heat for this - and start acting on behalf of all their constituents and not their own personal gains.

Comment
5 of 20

ryan-park-38926

September 10, 2005

Hope is not lost. Although politics and special interest got the best of SB1, the fundamentals are still in place. Solar is financially beneficial to our energy mix. Even though incentives are currently needed to stimulate investers, the cumulative good outweights the costs. Barry Cinnamon's "Economics for Solar Power in California" provides some credibility to the above statement.

Bottom line: Solar is beneficial financially and environmentally.

We need to push for the CPUC to add a small surcharge on electrical rates and continue support for solar in CA.

In fact, I will beg the question, why stop with CA? This is a model that should be initiated Nation wide.

Comment
6 of 20

jon-wellinghoff-38922

September 10, 2005

The IBEW is simply doing the work of the IOUs, and understandably so. Unless and until tariff rates are changed and incentives are realigned via the CPUC that makes it profitable for IOUs to have distributed PV installed in their service territories the fight will continue. So it is not the IBEW that needs to come to the table, it is the IOUs and the CPUC. And consumers will have to be willing to pay the extra freight to turn the current financial disincentive into a shareholder incentive.

Comment
7 of 20

klaus-rimpler-38910

September 10, 2005

Much luck, Solar has to go ahead.

Comment
8 of 20

kendall-jaye-38251

September 10, 2005

Of course every certified electrician that was called upon to do a final inspection of an PV install would have to have taken upgrading to bring their skiils into the 21'st century. Their AC power skillsets need to be expanded into the realm of PV DC with all its increased wire gauges, heavy duty connectors and blended power units. With an acceptance and embracing of this new reality the IBEW could be a key component of the million solar roofs initiative.
Kendall Jaye
TJB Solar Builders

Comment
9 of 20

kendall-jaye-38251

September 10, 2005

Its quite obvious that the Cal. IBEW perceived that something in SB1 was going to disenfranchise their membership. Whether or not the IBEW was set up by special interests opposed to SB1's implementation may never be known. But, whatever possessed the union heirarchy to shoot themselves in their proverbial collective feet the IBEW certainly came out as one af the main spoilers of this deal. If only the voice of reason could have prevailed there would have been all kinds of work for the sisters and brothers of the electricians union.

Comment
10 of 20

justin-gammino-30647

September 10, 2005

Nate
I agree with you in the fact that we can't wait for government incentives. You're right, we do have to lead by example. However, I think it would be a very bad idea to wait for the general public to wake up because that may never happen. In order for the general public to wake up, that would require them to turn off survivor, put down their pepsi and doritoes and actually think on their own. The grim reality is that we live in a country with people so stupid that the majority of americans actually approve and re-elected Bush! The dumbed down American is here to stay. We have to just travel a different path and educate our kids so that they don't fall to the lethargic side! We can only be optimistic about our own decisions not our countries. Yep, I'm embarrased!

Comment
11 of 20

robert-bernal-38457

September 11, 2005

If people were smart, we would get together and create a corporation that designs (the best) lowcost solar array to be deployed over many square miles of desert land by said corp own employees! Finainced by millions of people (who aren't dumbed by pepsi), even the detrimental laws would be challenged and defeted by said corp lawyers!
The best would probobly require heating a solution that stays hot for days before maxed out...
This way, nobody but a fasist could get in our way of providing electricity for the future!

Comment
12 of 20

charles-butterfield-36244

September 11, 2005

The lesson that we should take home is the importance of securing the support of all interested parties, such as the IBEW before the bill is drafted.

Next time, let's make certain that we draft a bill that will be supported by all interested parties (especially the IBEW) so we do not have go through this again.

Thank you,
Charles Butterfield

Comment
13 of 20

Tam_Hunt

September 12, 2005

I think it's quite fair to blame Republicans for this bill's death. The prevailing wage requirement - for commercial facilities only - plus the licensing requirement, should NOT have been deal breakers. With the new federal 30% tax credit (with no cap for commercial entities), the prevailing wage requirement is likely to be a wash. As for the licensing requirement, it only applies to new installers and most reputable installers have a C10 on staff anyway.

As I see it, it was simply too galling for Republicans (and the Governor) to vote for a bill that advanced the rights of labor vs. big business.

Comment
14 of 20

tripp-bishop-28613

September 13, 2005

<quote>
As I see it, it was simply too galling for Republicans (and the Governor) to vote for a bill that advanced the rights of labor vs. big business.
</quote>
That's not what the issue is here. The issue is that the admendments to SB-1 defeated the purpose of the bill, namely to drive the cost of solar DOWN. The solar community was against these amendments because of that. Several installers have pointed out the absurdity of the electrician requirements for even the most trivial aspects of a solar installation. If you want solar to be able to compete with coal (and that's what we all want) we have to drive the cost down as much as possible. Bloating the costs with ridiculous union payoffs is NOT the way to make the economics of solar sustainable. In the end it will only hurt our chances of displacing coal in our energy mix.

Comment
15 of 20

chris-szmauz-39005

September 13, 2005

Figures the year I finally buy a house in Califonia (been renting 5 years and housing costs were not going down) start researching alternative enery and willing to drop a pile of $$$ for photovoltaics on the roof, somebody steps up and ruins things.

Unions did and do continue to have a role in this country but its gotten way outta hand (years ago I needed to open the back of an electrical cabinet in NYC and was SEVERELY scolded by some shop steward for picking up a screw driver: Just a little outta hand...

Not that I voted for the "Governator" either...

Let's hope the CPUC can get things implemented. I still rather have something like SB1 in place though (without the lobbyist crap) to set a law/standard for this country and get us on the road to energy indepenence...

Comment
16 of 20

kimberly-cover-38998

September 13, 2005

SB1 should have passed!
It's a bill that every average Californian can understand and agree with (even the dorito eating survivors stuck in front of the TV). Air pollution, rolling black outs, and hurricanes are enough to scare the public into thinking about alternative energy sources. I think SB1 (with some slight changes) should be part of the Governor's Special Election in November.
What can we do to get SB 1 on the ballot? I believe that the people would vote YES!!! I am more than willing to work hard to get this on the special election ballot. Anybody want to help? Suggestions?

Comment
17 of 20

davefork

September 14, 2005

Blame lies squarely with the labor unions for making a selfish and punative amendment that killed SB-1.

California's prevailing wage law on solar energy systems, would have increased costs by 15% and unfairly penalize solar energy. California currently provides incentives for the installation of energy efficient air conditioners, furnaces, washing machines, ceiling fans, insulation and high performance windows and none of these installations trigger prevailing wage.

Solar power is a nascent market that still needs incentives, not dis-incentives, to ramp to volume and reduce cost. I'm a registered democrat, at least for now, but the republicans had it right on this one.

Comment
18 of 20

corby-ferguson-35932

September 15, 2005

I hope Solar isn't being sabatoged by Nuke and Fossil folk. Believe it or not! They actually think it is safe?????? National security created so many jobs to protect us from Nuclear power plant terrorist invasion like they have 8000 people to protect one plant. Like they are gonna give up that job?
They will probably have to get the wake up call. So, in fact they are causing it. These jobs should be in safe energy. It is just like the terrorists giveing the jobs to keep the nukes and not passing the safe solar and wind yet saying they are the saviors too? Things are getting mixed up so the solar has to be wired into the grid and a person who has no electrical training is not capable of doing that because they don't know the difference between DC and AC and how dangerous a electrical wiring job can be.

Comment
19 of 20

nate-bourell-38095

September 22, 2005

--Tripp Bishop:

The raise in pay for workers would only apply to government projects, so it still would have driven the cost of solar down for private applacations, and no bill can drive costs down for the government that funds it.

Comment
20 of 20

nate-bourell-38095

September 22, 2005

-- Mechanical Engineering Student:

I hate to admit it but you're right. When I said "Until the general public wakes up to the obvious necessity and benafits of renewable energy, we are on our own" I really meant that we need to "travel a different path and educate our kids so that they don't fall to the lethargic side." The only way that it will happen before our kid's generation is if something really big happens, like running out of oil or gurastic effects of climate change. I just don't understand why people don't realize that gass is expensive because we are running out of oil. The reason that the huricanes have been so bad this year is because the gulf of mexico is about 4 degrees warmer than usual this year, so why isn't their any news coverage that debates wheather it has anything to do with the greenhouse effect?? If we don't start to take action, manny experts think we could have a storm like Katrina and a another like Rita every single year, why isn't this news?

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