As California pursues its ambitious clean energy vision, the state faces an unexpected challenge: it is sometimes generating more solar energy than it can handle. This surplus of clean energy, while seemingly positive, has led to significant amounts of solar energy going to waste. NBC News’ Liz Kreutz reports on this issue, providing insights from industry experts and state officials.
The “Duck Curve” Explained
California, known for its progressive clean energy initiatives, has seen a rapid expansion of solar energy production. Suburban homes across the state are commonly topped with solar panels, contributing to the state’s renewable energy output. However, this has resulted in periods where the production of solar energy exceeds the demand, particularly during sunny days when people are not using as much electricity. This phenomenon, known as the “duck curve,” illustrates the time of day when solar production is at its peak but demand is low.
Curtailing Excess Solar Energy
Elliot Mainzer, President and CEO of the California Independent System Operator (ISO), explains the situation: “There are times when we do not have the demand for electricity for the full production of the solar fleet. Sometimes we’re able to export it, and there are those times under certain extreme conditions when we do have to curtail it.” By curtailing, Mainzer means that instructions are sent to solar fleets to reduce their generation, effectively wasting the excess energy.
Economic Impact on the Solar Industry
The surplus has significant economic implications, particularly for the residential solar industry. State regulators have responded by cutting financial incentives for homeowners to install solar panels. Ed Murray, president and CEO of Aztec Solar outside Sacramento, describes the devastating impact on his business: “Sales went flat because nobody wanted it anymore. It was not productive or cost-effective to do solar, and we were left figuring out what to do now.”
Job Losses and Reduced Installations
Since the changes in incentives, residential solar installations have plummeted by 66%, and approximately 17,000 green jobs have been lost statewide. The new policies require homeowners to install batteries along with solar panels to store the excess energy, which can cost an additional $10,000 to $20,000, making solar less affordable for many.
Governor Newsom’s Battery Push
Governor Gavin Newsom’s administration has been pushing to add more batteries to store the excess energy and use it during peak demand times. In a statement, Newsom defended the state’s policies, emphasizing that no other state comes close to California’s solar production and that the state is adding more batteries faster than ever.
Critics’ Concerns
However, critics argue that these measures are not enough. Murray is skeptical about California’s ability to meet its 2045 clean energy goal without significant contributions from rooftop solar. “No way we’re going to get there without rooftop solar. Electric vehicles, heat pumps, electric range tops — this is not going to happen without solar. Period,” he asserts.
Implications for Other States
California’s approach to managing its solar surplus may serve as a model for other states. According to Murray, other states such as Florida, Arizona, Minnesota, and Massachusetts are considering similar changes. This could potentially lead to nationwide impacts on the solar industry.
Price of Electricity
People in the comments shared their thoughts: “It’s not too much solar. It’s the lack of sustainable storage at both the individual and market level.”
Another commenter said: “Free energy is bad for greedy energy companies”
Some had questions: “if it’s so abundant, why is the price of electicity not going down?”
Navigating New Challenges
As California leads the charge towards a renewable future, it must navigate these new challenges carefully to ensure that its clean energy goals remain achievable. The state’s experience highlights the complexity of balancing renewable energy production with practical, economic, and infrastructural realities.
Economic Viability
What are your thoughts? How can California balance the economic impact on the solar industry while maintaining its clean energy goals? What innovative technologies could be developed to better store or utilize excess solar energy? How can state and federal policies evolve to support both large-scale solar projects and residential solar installations?
Explore the full insights by viewing the video on NBC News’ YouTube channel here.
