California is soon set to become the first state in the United States to mandate solar cells in every home. The California Energy Commission approved the building standards and said that newly constructed houses should all have provisions to install solar panels. This new law applies to all homes now under construction, starting from single-family residences to multiple-family apartments. This is a historic decision passed by the California Energy Commission to improve the state’s efforts in combating climate change.
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Key Takeaways
- California is set to become the first U.S. state to mandate solar panels in all newly constructed homes, including single-family residences and multiple-family apartments, as part of its efforts to combat climate change.
- The move is aligned with California’s goal to cut emissions to 1990 levels by 2020 and promote “net energy zero” homes, although some critics argue it may increase housing costs by approximately $9,500 per single-family home.
- Homebuyers in California will have options to enter power purchase agreements or lease solar panels, and communities can pool resources for collective energy savings. The state aims to make homes more efficient, resilient, and affordable in the long term.
California Energy Reduction Goals
California has long been one of the states that actively participated in energy reduction programs. This change in the solar panel law is another example of how the state prioritizes energy reduction for a greener environment in the future. David Hochschild, the commissioner and the person to pass the law, said that it is time Californians stay in homes that are not equivalent to gas guzzlers. This bold and visionary step is a welcome change and is an example of what other states should do.
California now aims to cut emissions to almost 1990 levels by the end of 2020. They want to introduce the concept of “net energy zero” with solar panels in California in every new house. So, the idea is not to consume more energy than the state can produce. This initiative led to the recent change in the laws of the state.
The Consequences
Although everyone is ecstatic that California is now working its way to a greener environment, many people oppose the law. They think that the housing costs will go up significantly in the state, especially in places with sky-high real estate prices. Some of the researchers also came up with a calculation that the new law for solar mandate will add almost $9500 to every single-family residential home. The price will go up if it is a multiple-family apartment.
However, the commission devised a logical explanation to combat this idea. They agreed that the initial real estate costs would increase to some extent, but the energy reduction savings, in the long run, will more than make up for what people invest now. The commission said an average single-family residential home can save more than $19000 on energy bills. So, what seems like a sudden price surge will only help save money in the future.
Understanding the Law in Detail
Starting in 2020, any new person who wants to buy a new house in California will have two options: enter into a power purchase agreement that the developer has or pay upright for the solar panels by leasing them. This decision was agreed upon in the light of the fact that many people may not have the additional $9500 upfront. So, they now have an option to bypass that expense and sign the power purchase agreement.
There is another option, but that solely relates to communities. Instead of installing solar panels on individual homes, the communities can pool their resources. This will help to save almost a similar amount of energy every month as solar cells.
The executive director of the California Energy Commission, Drew Bohan, also mentioned a few points regarding the increase in property prices after the change in the solar panel laws. New homes will indeed cost almost $ 10,000 more than before. Homeowners will have a chance to save that money in the long run. The math is simple. Usually, people in California take a 25-year or 30-year mortgage while purchasing a new house. Bohan said families can save more than $19000 throughout this mortgage period.
He also mentioned that extreme weather conditions have become more frequent in California. This is another reason the commission wanted to finalize the solar panel laws. They believe it will make homes more efficient, resilient, and reliable. Bohan indicated that this is just the beginning of cost-cutting in energy bills. He promised that the commission would take measures to ensure they could reduce the overall price of houses to become more affordable to residents.
2017 was a year that saw a slump in the use of solar cells in California. It affected the business of hundreds of solar panel manufacturers and installers. However, the new law has brought back their hopes of reviving their business. Although the solar mandate law will immediately impact the price of the houses, affecting agents, real estate developers, and buyers, a significant group in the real estate industry supported this law wholeheartedly.
Bringing the Change
Hundreds of houses in California still use natural gas to produce electricity. This law will finally allow these houses to welcome the change and shift to using solar panels instead of natural gas. The commission hopes that non-solar Californians will soon get used to this law, although they might initially run into a few electrical disturbances. The board members also said in a press conference that they would try to ensure that solar cell manufacturers don’t charge a high amount during this time.
Although the California Energy Commission has unanimously passed the law, they still need to approve it from the California Building Standards Commission. Most board members believe that the Building Standards Commission will vote in their favor because the state has long wanted to reduce its carbon emissions.
While most countries are still debating whether to use solar cells, California emerged as the first state to make them compulsory for new houses. The state’s governor, Jerry Brown, believes California can generate electricity from renewable sources by the end of 2030. However, this will only be possible if all the residents agree regarding using solar cells in their houses and properties.
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Map image by Wikimedia Commons User: TUBS / CC-BY-SA-3.0
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