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NEM 3.0 in California: How Utah Clean Power Helps Homeowners Save with Solar Batteries

  • Writer: Arundel Kramer
    Arundel Kramer
  • Apr 15
  • 2 min read


Why Solar Battery is Essential Under NEM 3.0 in California


Overview

For California homeowners, pairing solar with a battery under NEM 3.0 is now critical…

California’s NEM 3.0 (Net Energy Metering 3.0) took effect in April 2023, drastically changing how solar customers are credited for excess energy. Under this new policy, homeowners who don’t pair solar panels with battery storage receive far lower compensation—making batteries a must-have for maximizing savings.


At Utah Clean Power, we specialize in solar battery systems in Orange County that help homeowners:

✔ Reduce reliance on the grid – Store excess solar energy for use during peak-rate hours

✔ Lock in long-term savings – Offset 70-120% of electricity bills

✔ Gain energy security – Keep power on during blackouts and PSPS outages



What is NEM 3.0?


The California Public Utilities Commission (CPUC) introduced NEM 3.0 to incentivize battery storage adoption. Key changes include:

  • Lower export rates – Solar-only systems earn 75% less for excess energy vs. NEM 2.0

  • Time-of-Use (TOU) adjustments – Higher peak rates (4–9 PM) mean bigger savings for battery users

  • "Solar + storage" bonuses – Extra incentives for installing batteries (but they decrease yearly)


NEM 3.0 vs. NEM 2.0

Feature

NEM 2.0

NEM 3.0

Export Credits

Near retail rates

25-30% of retail rates

Payback Period

5-7 years

7-10 years (without battery)

Best Solution

Solar-only OK

Solar + battery required



How NEM 3.0 Works (And How to Beat It)


1. Solar Batteries = Higher Savings


Under NEM 3.0:

  • Without a battery, you sell excess solar for 0.08–0.08–0.25/kWh (varies by utility)

  • With a battery, you avoid buying grid power at 0.40–0.40–0.60/kWh during peak times


Real-World Example: An Irvine homeowner with Utah Clean Power’s battery system:

  • Cuts peak-hour usage by +100% (saving ~$1,800/year)

  • Earns $1,200+ in CA incentives

  • Powers home during SCE blackouts


2. How to Maximize NEM 3.0 Savings


✅ Install a battery – Our 25-year warranty ensures decades of peak performance

✅ Shift usage to off-peak hours – Run appliances midday (9 AM–2 PM)

✅ Enroll ASAP – California’s battery incentives drop 20% yearly until 2028



Why Choose Utah Clean Power for NEM 3.0 Solar Batteries?


As a leading provider of solar battery systems in Orange County, we offer:

🔹 Industry-leading 25-year warranty (+ optional 10-year extension)

🔹 $0-down financing – Start saving with no upfront cost

🔹 SCE/SDG&E expertise – Optimized systems for your utility’s TOU rates

🔹 Blackout protection – Keep lights on during grid failures



FAQs


Is solar still worth it under NEM 3.0?

Yes! With a battery, savings remain strong (70-90% bill reduction). Solar-only payback periods are longer.


Can I still get NEM 2.0?

No—unless you applied before April 14, 2023. All new systems fall under NEM 3.0.


Do I need a battery for NEM 3.0?

Not required, but highly recommended. Without one, your savings drop 40-50%.






 
 
 

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