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CA Considers Taxing Solar Power Generation

Posted by timothy on from the corrupts-absolutely dept.

California is considering a proposal by the state Public Utilities Commission to charge an 'exit tax,' proportional to the amount of power you generate, on electricity generated by means such as solar panels for your own use. I would expect a state like California to try and encourage the adoption of alternative power sources, but this seems a really odd way of doing it. Two groups have started lobbying against this tax. If passed, it sets a precedent that many fear will lead to similar taxes outside CA.

5 of 107 comments (clear)

  1. This is ridiculous by fobside · · Score: 5, Insightful

    Since when does any government have the right to place taxes on unrefined, natural resources like the sun? Pretty soon, they'll be trying to charge for the spinning of a pinwheel or the clanging of wind chimes in a front lawn. If an individual were to sell unused power to other people, I could see how a tax might be warranted.

  2. not to complain but by hswerdfe · · Score: 5, Funny

    CA = Canada

    its our top level domain. damit

    I don't care if California has a bigger economy or not.

    we are not giving it up

    --
    --meh--
  3. just when you think the bar is highest... by chriso11 · · Score: 5, Insightful

    Amazing! Just when you think the most ludicrious proposal comes along, they top it with ease...

    While they're at it, they should count the number of compact florescents I installed and tax me on the amount of electricity I'm not using...

    --
    No, I don't trust in god. He'll have to pay up front, like everybody else.
    1. Re:just when you think the bar is highest... by SchnauzerGuy · · Score: 5, Insightful
      That is exactly what they are doing. There is no important difference between
      • Your power load is decreased because you are generating some of your own electricity.
      • Your power load is decreased because you are conserving electricity.
      Either way, you aren't contributing enough to paying off those utility bonds.
  4. Not just solar power... by SchnauzerGuy · · Score: 5, Informative
    This proposed tariff doesn't just apply to solar power, but any kind of "off-grid" power generation:
    "Customer Generation" as used in this order, incorporates the definition in the Joint Parties' Settlement Agreement. It refers to cogeneration, renewable technologies, or any other type of generation that (a) is dedicated wholly or in part to serve a specific customer's load; and (b) relies on non-utility or dedicated utility distribution wires rather than the utility grid
    That means wind power, fuel cells, diesel generators, etc. are also covered. And since the settlement covers anything that reduced the customer's load, presumably even geo-thermal heating/cooling systems would be taxed.