California is wrestling with electricity prices – here’s how to design a system that covers the cost of fixing the grid while keeping prices fair

Small-scale solar power, also known as rooftop or distributed solar, has grown considerably in the U.S. over the past decade. It provides electricity without emitting air pollutants or climate-warming greenhouse gases, and it meets local energy demand without requiring costly investments in transmission and distribution systems. However, its expansion is making it harder for electric utilities and power grid managers to design fair and efficient retail electricity rates – the prices that households pay. Under traditional electricity pricing, customers pay one charge per kilowatt-hour of electricity consumption that covers both the en......

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