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California Solar Contract Help
If your solar payment increased, your electric bill stayed high, the savings did not match the proposal, your installer stopped responding, or solar is interfering with a home sale or refinance, Solar Exit California can help you review the complete situation and understand the strongest next steps available.
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Solar Exit California will guide you through the process from the moment you become a client, coordinating with the legal professionals supporting your case as appropriate. We know solar contract disputes can be confusing, especially when financing, credit, installers, and utility issues overlap. You will have a team helping you understand what comes next and working toward the best available resolution for your situation.
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Find the Help You Need
California solar problems can involve several different billing programs, disclosure rules, financing structures, and regulators. Use the shortcuts below to jump directly to the issue you are dealing with.
Common California Solar Problems
Solar problems do not always begin and end with the installer. The salesperson, dealer, lender, loan servicer, electric utility, equipment manufacturer, and installation contractor may all play different roles.
The loan may have been structured around an expected tax-credit payment, a future re-amortization, financing costs, or other terms that were not clear during the sales presentation.
California solar customers can still buy electricity from the grid, pay charges solar does not eliminate, and receive export credits that differ from the retail price of electricity.
California requires solar-specific disclosures with standardized financial and bill-savings information. Those documents give homeowners something concrete to compare with the original pitch and actual bills.
Some NEM 2 transition projects had to complete final utility requirements by April 14, 2026. A project that missed the applicable deadline may have moved to the Solar Billing Plan.
The installer may not be the lender, loan servicer, equipment manufacturer, monitoring provider, or warranty provider. Company closure does not automatically eliminate financing or other contractual obligations.
A conventional solar loan, lease, PPA, UCC filing, or PACE assessment can create very different payoff, transfer, title, and underwriting questions.
How It Works
You do not need to know the correct legal, financial, or utility terminology. Tell us what happened and provide the documents you have.
Provide the basic details of the contract, payment, utility, installation, company-closure, or home-sale problem.
The agreement, financing paperwork, California disclosure documents, utility bills, proposal, production records, and communications help show what was signed, promised, installed, financed, and billed.
The review helps identify the issues requiring closer attention and the appropriate company, utility, regulator, or qualified professional that may need to be involved.
What Makes Solar Different in California?
California has one of the largest customer-sited solar markets in the country. The California Public Utilities Commission has reported that the state represented more than one-third of U.S. customer-sited solar capacity as of September 2023 and averaged roughly 137,000 solar installations per year over the prior decade.
For a homeowner already dealing with a solar problem, the key issue is that California does not have one experience for every solar customer. Utility jurisdiction, NEM or Solar Billing Plan status, interconnection timing, Community Choice Aggregation, battery operation, and financing structure can all change the analysis.
Start With Your Electric Utility
Before deciding why the solar savings, credits, or utility bill do not match what you expected, identify the utility serving the home and the solar billing program attached to the account.
California's three large investor-owned utilities are regulated by the CPUC. Their residential customer-generation programs include legacy NEM customers and newer customers on the Net Billing Tariff, which the utilities call the Solar Billing Plan.
The Los Angeles Department of Water and Power is a publicly owned utility and is not rate-regulated by the CPUC. LADWP maintains its own residential rate and net-energy-metering framework.
Sacramento Municipal Utility District is publicly owned. Certain legacy NEM customers can remain on their older rate through December 31, 2030, while newer customers use the Solar and Storage Rate.
NEM 1, NEM 2, or Solar Billing Plan?
Since April 15, 2023, qualifying new interconnection applicants in PG&E, SCE, and SDG&E territory generally take service under the Net Billing Tariff, which the utilities call the Solar Billing Plan. Many existing customers continue under legacy NEM.
Many California homeowners remain under NEM 1.0 or NEM 2.0. Under those legacy tariffs, customer generation and electricity consumption are credited according to the applicable NEM and retail-rate structure.
SCE states that an existing NEM account continues under its current NEM program until the 20-year legacy period expires or the account otherwise becomes ineligible.
Under the Solar Billing Plan, solar used directly by the home offsets energy that otherwise would have been purchased from the grid. Excess electricity exported to the grid earns Energy Export Credits based on the value of that generation to the grid.
The CPUC states that export compensation is usually below the retail rate but can rise above retail during some late-summer evening periods. Battery storage can change the economics by shifting energy into higher-value periods.
A Current 2026 California Issue
PG&E states that NEM 2 interconnection customers who did not submit final electrical clearance on or before 11:59 p.m. April 14, 2026 generally moved to the Solar Billing Plan unless an approved utility-related extension applied.
SCE likewise identifies April 14, 2026 as the deadline for active NEM 2.0 projects to submit required final documentation free of deficiencies, with separate treatment for certain VNEM and NEM-A projects.
A transition from an expected NEM 2 project to the Solar Billing Plan does not by itself establish liability or a right to cancel. It can be highly relevant when comparing what was represented during the sale with what ultimately occurred.
Why Is the Electric Bill Still High?
A higher-than-expected electric bill does not automatically mean the panels failed. The applicable billing program, imports from the grid, export-credit values, time-of-use periods, rate plan, battery operation, household consumption, Community Choice Aggregation, and fixed charges can all matter.
California residential billing has also been restructured to include a Base Services Charge for customers of the large investor-owned utilities. Solar customers pay the charge too, and some generation credits cannot offset it.
If the bill includes a Community Choice Aggregator, the IOU may still provide delivery and billing while the CCA supplies the generation portion. Review both parts of the bill when comparing actual savings with the proposal.
California Solar Disclosures
California requires residential solar providers to provide a completed Solar Energy System Disclosure Document containing key cost and consumer information.
The longer Solar Energy System Supporting Information document has been in effect since November 1, 2025. It adds standardized financial obligations, bill-savings information, and calculation assumptions.
California also protects access to documents in the language used during the sales process. The current Solar Consumer Protection Guide states that a customer has the right to receive the solar contract and financing agreement in the language in which the salesperson spoke to the customer.
The CPUC currently limits the electricity-rate escalation assumption used in certain standardized savings calculations to a maximum of 10%. That does not make savings guaranteed, but it gives homeowners another concrete comparison point.
California Solar Cancellation Rights
California's current Solar Consumer Protection Guide states that homeowners generally have at least three business days to cancel a covered solar contract for any reason.
Consumers age 65 or older generally receive five business days. Different rules can apply in some circumstances, including certain contracts negotiated at a company's place of business.
If the transaction is recent, do not rely only on a website summary. The signed contract and cancellation notice should be reviewed immediately.
Contractor and Salesperson Verification
The California Contractors State License Board licenses contractors and maintains public lookup tools. California solar guidance identifies classifications such as C-46 Solar, C-10 Electrical, and B General Building that can apply depending on the work performed.
CSLB also states that people who solicit, sell, negotiate, or execute home-improvement contracts for licensed contractors generally must be registered as Home Improvement Salespersons, subject to limited exceptions.
CSLB currently states that down payments for covered residential solar home-improvement work generally may not exceed $1,000 or 10% of the contract price, whichever is less. Progress payments generally cannot exceed the value of work performed or materials delivered.
Do not assume the salesperson, dealer, installation company, licensed contractor, and finance company are the same business.
Solar Financing in California
A conventional solar loan and Property Assessed Clean Energy financing are not the same thing.
A conventional solar loan may involve a UCC financing statement identifying a security interest in named collateral. That does not automatically make every UCC filing a traditional mortgage lien against the entire house.
DFPI explains that PACE improvements are repaid through increased property-tax assessments and that a lien is placed on the home until the PACE contract is paid off. DFPI specifically warns that PACE can complicate selling or refinancing.
Federal and California Tax Expectations
For qualifying residential clean-energy property installed from 2022 through December 31, 2025, the federal Residential Clean Energy Credit was generally 30% of qualified costs.
The IRS currently states that the residential credit is not available for property placed in service after December 31, 2025. The credit is nonrefundable, so the usable benefit also depends on the taxpayer's tax situation.
California separately has an active solar energy system new-construction exclusion for qualifying property-tax assessment purposes. The California Board of Equalization explains that it is an exclusion, not an income-tax credit or general property-tax exemption. Under current law, it is scheduled to sunset January 1, 2027.
Selling or Refinancing With Solar
Solar can create sale or refinance problems when the system is financed, leased, subject to a PPA, tied to a UCC financing statement, or financed through a PACE assessment.
California's Secretary of State describes a UCC-1 financing statement as a filing used to perfect a security interest in named collateral. DFPI explains that PACE is repaid through property-tax assessments and creates a lien on the property until paid off.
Those are different financing structures and may require different payoff, transfer, release, or underwriting steps.
Solar Company Closed or Stopped Responding
A California residential solar transaction can involve separate entities for sales, installation, financing, loan servicing, lease or PPA ownership, equipment manufacturing, monitoring, and warranty service.
If the installer closes, the other companies may still exist. Company closure does not automatically cancel a loan, lease, PPA, PACE assessment, warranty, or other contractual obligation.
California Complaint and Assistance Guide
California has several strong consumer resources, but the correct one depends on whether the problem involves the contractor, salesperson, utility, financing company, PACE administrator, or a filing record.
CSLB licenses contractors, registers Home Improvement Salespersons, maintains public lookup tools, and accepts solar-related complaints.
Important: CSLB may investigate, mediate, cite, or discipline within its authority, but restitution or a particular homeowner remedy is not guaranteed.
Official ResourceThe Attorney General accepts consumer complaints and uses complaint information in its broader consumer-protection and enforcement work.
Important: The Attorney General does not provide individual legal advice or act as the homeowner's private attorney.
Official ResourceThe CPUC provides an informal utility complaint process for utilities within its jurisdiction.
Important: The CPUC does not regulate the rates of public utilities such as LADWP and SMUD in the same manner.
Official ResourcePublicly owned utilities maintain their own customer-service, billing, rate, and governance processes.
Important: The CPUC's normal regulated-utility complaint process does not control the rates of municipal utilities such as LADWP or SMUD.
Official ResourceDFPI regulates PACE program administrators and provides consumer information and a complaint process.
Important: DFPI does not act as the homeowner's private attorney and cannot guarantee a particular result.
Official ResourceDFPI handles complaints involving many regulated financial companies and finance lenders.
Important: The correct regulator depends on the legal lender, servicer, charter, and type of institution.
Official ResourceThe Secretary of State is California's central filing office for UCC financing statements and related filings.
Important: A UCC filing identifies a security interest in named collateral and should not automatically be described as a mortgage lien against the entire home.
Official ResourceThe IRS publishes the current federal Residential Clean Energy Credit rules.
Important: Solar Exit California does not determine individual tax eligibility or provide tax advice.
Official ResourceOlder resources may still tell homeowners to apply. CSLB currently states that it is no longer accepting new claims in order to preserve remaining funds for claims already received.
Verify With Official SourceThe CPUC currently states that the public Watch List process is paused while revisions are implemented. It should not be presented as a complete current blacklist of solar providers.
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California Solar Contract FAQs
The answer often depends on the agreement, financing, timing, utility, project status, and specific facts.
Start My Free ReviewCalifornia's current Solar Consumer Protection Guide says homeowners generally have at least three business days to cancel a covered solar contract for any reason. Consumers age 65 or older generally receive five business days. Different rules can apply in some circumstances, including certain contracts negotiated at a company's place of business, so review the actual cancellation notice and signed documents immediately.
NEM 2 is a legacy net-energy-metering tariff. New qualifying PG&E, SCE, and SDG&E interconnection applications have generally entered the Net Billing Tariff, called the Solar Billing Plan by the utilities, since April 15, 2023. Under the Solar Billing Plan, excess electricity is credited based on its grid value rather than ordinary retail-rate netting. Existing qualifying NEM customers can remain under legacy treatment until their eligibility expires or is lost.
The answer may involve household consumption, solar production, electricity imported from the grid, export-credit values, time-of-use rates, Base Services Charges, other non-bypassable or fixed charges, battery operation, Community Choice Aggregation, or the billing program applied to the account. A remaining bill does not automatically prove that the system failed or that the sales estimate was improper.
California's CSLB public lookup system lets homeowners verify contractor licenses and Home Improvement Salesperson registrations. Solar salespeople generally must have an HIS registration when they solicit, sell, negotiate, or execute home-improvement contracts for a licensed contractor, subject to limited exceptions.
Yes. A buyer or mortgage lender may need information concerning a solar loan, lease, PPA, UCC filing, or PACE assessment. A UCC financing statement and a PACE lien are not the same thing. The financing structure determines what payoff, transfer, release, or title information may be required.
It depends on the problem. Contractor, installation, and salesperson issues may belong with CSLB. General business-conduct complaints may be submitted to the California Attorney General. Utility complaints involving PG&E, SCE, or SDG&E may be appropriate for the CPUC after working with the utility. PACE and certain financing complaints may fall under DFPI. Public utility complaints such as LADWP or SMUD generally require the utility's local process rather than the CPUC's normal rate-jurisdiction process.
Start With a Free Review
California solar problems can involve the contract, financing, required disclosures, utility program, interconnection timeline, salesperson, contractor, and billing structure at the same time. The first step is identifying what was signed, what was represented, which billing program applies, what was installed, how it was financed, and what the homeowner is actually paying now.
Official Sources and California Resources
These government, regulator, utility, and first-party resources support the state-specific information on this page.
NEM, Net Billing Tariff, Solar Billing Plan, export-credit, and customer-generation framework.
Current California solar consumer rights, cancellation information, disclosures, and installation requirements.
Solar Energy System Disclosure Document and Supporting Information requirements.
Solar contractor, salesperson, contract, payment, complaint, and consumer-protection resources.
Public contractor-license and salesperson-registration verification.
Current 2026 NEM 2 transition and Solar Billing Plan interconnection information.
Legacy NEM eligibility and April 14, 2026 NEM 2 final-document information.
SMUD legacy NEM treatment and current Solar and Storage Rate export compensation.
LADWP residential rate and net-energy-metering information.
PACE financing, property-tax assessment, lien, sale, refinance, and complaint information.
Consumer complaint process for financial companies and PACE matters within DFPI jurisdiction.
UCC financing-statement information and state filing resources.
Current California property-tax new-construction exclusion for qualifying active solar systems.
General California consumer-protection information and complaint resources.
Current federal residential clean-energy credit rules, including termination after 2025.
Current status of the Watch List process, which the CPUC states is paused while revisions are implemented.
State information reviewed August 18, 2026. Laws, regulations, incentive programs, utility policies, agency responsibilities, and solar billing rules may change. Homeowners should verify current requirements with the appropriate agency, utility, lender, tax professional, attorney, or licensed contractor.