A proposed California Public Utilities Commission decision on community solar is drawing fierce…
KEY DEVELOPMENTS
- CPUC Decision Threatens California Community Solar: The California Public Utilities Commission rejected the industry-backed Net Value Billing Tariff, adopting instead an Avoided Cost Calculator rate structure that advocates say makes new community solar projects financially unviable. Read More: PV Magazine USA.
- Offshore Wind Gets Surprise Trump Administration Opening: President Trump and Interior Secretary Doug Burgum are signaling potential policy shifts that could ease the path for U.S. offshore wind development after a punishing first year in office for the industry. Read More: Canary Media.
- Tango Holdings Powers Up 200 MW in Midwest: Two 100 MW utility-scale solar projects in Indiana and Ohio commenced commercial operations, adding significant generation capacity to the grid. Read More: Power Magazine.
- Oakland Utility Launches $11M Virtual Power Plant: Ava Community Energy rolled out one of California's largest residential virtual power plant programs, offering incentives for combined solar-plus-storage installations across northern California. Read More: Solar Builder.
- Colorado PUC Codifies Environmental Justice Settlement: Xcel Energy's 2026–27 Renewable Energy Compliance Plan was approved with $1.5 million in additional funding for income-qualified clean energy programs and expanded outreach to Spanish-speaking communities. Read More: PV Magazine USA.
Solar & Storage
California's clean energy buildout is facing a one-two punch this week. The CPUC's proposed decision on community solar — which would use the Avoided Cost Calculator rather than the industry-preferred Net Value Billing Tariff to set compensation rates — has united a broad coalition of solar advocates in opposition. SEIA and other groups argue the adopted rate structure , effectively shutting the door on new community solar development during a period when Californians are already grappling with some of the highest electricity rates in the nation. If the decision stands, it could strand a pipeline of projects designed to bring solar access to renters and low-income households who cannot install rooftop panels. Read More: will make projects economically infeasible.
That setback arrives alongside AES Corporation's formal withdrawal of its 320 MW / 1,280 MWh Seguro battery storage project in San Diego County, a story first reported in yesterday's briefing. New details from reveal the project's collapse was driven not just by community opposition in Escondido but by a compounding series of technical and regulatory failures — loss of grid interconnection access and tightened fire safety codes that ultimately broke the project's business model. The three-year battle underscores how even well-capitalized developers face existential risks from local permitting dynamics, a cautionary tale as the industry pushes to deploy tens of gigawatts of storage nationwide. Read More: PV Magazine USA.
Yet amid California's struggles, the state is also producing innovation. Ava Community Energy, the Oakland-based community choice aggregator, launched its this week with $11 million in incentives to subsidize residential solar-plus-storage systems that double as virtual power plant assets. The program aims to create one of northern California's largest VPPs, aggregating distributed batteries to provide grid services during peak demand — precisely the kind of flexible resource the state desperately needs as it retires gas peakers and confronts summer reliability challenges. The approach mirrors the Arizona Energy Promise Taskforce's recent VPP recommendations, suggesting a growing national consensus that distributed storage can serve as critical grid infrastructure. Read More: SmartHome Battery program.
Outside California, the Midwest continues its steady solar expansion. Tango Holdings brought two 100 MW utility-scale solar projects online in Indiana and Ohio, as reported by , adding 200 MW of new generation capacity to a region that has become increasingly attractive for solar development. Meanwhile, Greensol has broken ground on the 102 MW Murch Solar project in Van Buren County, Michigan, developed by. Heelstone's activity in Michigan follows its groundbreaking on a 206 MW portfolio reported earlier this week, signaling an aggressive buildout strategy across the industrial Midwest where data center demand and corporate procurement are fueling deployment. Read More: Power Magazine, Heelstone Renewable Energy.
On the commercial and industrial front, insulation manufacturer Kingspan commissioned an at its Mendota, Illinois factory — its third North American solar installation — as the company pushes toward a target of 60% renewable energy use by 2030. REC Solar and Dynamic Energy completed the project, reflecting the steady C&I solar pipeline even as policy headwinds buffet the utility-scale sector. Read More: 881 kW rooftop solar array.
Wind Energy
In what may be the most unexpected development of the week, the U.S. offshore wind industry is getting a potential lifeline from an unlikely source: the Trump administration itself. that President Trump and Interior Secretary Doug Burgum are signaling a shift in the administration's posture toward offshore wind after more than a year of regulatory freezes, lease sale cancellations, and hostile rhetoric that left the industry reeling. The exact contours of any policy change remain unclear, but the signals represent a dramatic tonal shift from an administration that entered office pledging to halt offshore wind development. Read More: Canary Media reports.
The potential thaw comes at a critical moment. Developers have been hemorrhaging capital, renegotiating power purchase agreements, and in some cases abandoning projects entirely. If the administration moves to restart lease sales or streamline federal permitting for projects already in the pipeline, it could revive billions of dollars in planned investment along the East Coast. Industry observers note that the pivot may reflect growing political pressure from Republican governors in coastal states where offshore wind projects promise significant manufacturing jobs and economic development — a dynamic that has quietly reshaped the politics of wind energy even in red-leaning districts.
Policy & Markets
The policy landscape for clean energy remains deeply fractured between state-level action and federal uncertainty. Colorado's Public Utilities Commission this week with enhanced environmental justice provisions, including $1.5 million in new funding for income-qualified renewable energy programs and improved outreach to Spanish-speaking communities. The decision codifies a settlement negotiated with environmental justice advocates and represents one of the more concrete examples of equity-focused clean energy policy making its way into utility planning — a model other states are watching closely. Read More: approved Xcel Energy's 2026–27 Renewable Energy Compliance Plan.
At the federal level, however, the climate for clean energy policy continues to darken. The on a resurgence of climate change denial in Washington, with administration officials and allies increasingly dismissing climate science while promoting fossil fuel expansion. This ideological backdrop shapes everything from IRA implementation to federal permitting decisions, creating a two-speed regulatory environment where state-level ambition must contend with federal headwinds. Meanwhile, how rising geopolitical tensions with Iran are stress-testing the administration's "energy dominance" vision, with volatile oil markets potentially creating unexpected openings for clean energy advocates to make the case for domestically produced renewable power as a national security asset. Read More: Seattle Times reports, Inside Climate News examines.
A new offers some encouraging data on the permitting front: analyzing 460 renewable energy projects across the country, researchers found that most wind and solar facilities under state jurisdiction receive permits within approximately one year, with a 90% approval rate. The findings push back against the narrative that permitting is an insurmountable bottleneck, though they also suggest that the projects that do encounter prolonged opposition — like the AES Seguro battery project — tend to generate outsized attention that distorts industry perceptions of overall permitting risk. Read More: UMass Amherst study.
LOOKING AHEAD
- CPUC Community Solar Final Vote: Watch for the California Public Utilities Commission's final decision on community solar rates, which could either lock in the controversial Avoided Cost Calculator approach or incorporate industry modifications — the outcome will shape the viability of community solar in the state's largest market for years to come.
- Trump Offshore Wind Policy Shift: Details on any formal policy changes from the Interior Department regarding offshore wind leasing and permitting could emerge in coming weeks, potentially restarting a pipeline that has been largely frozen since early 2025.
- Maryland Utility RELIEF Act: Following this week's legislative agreement, the comprehensive energy package moves toward final passage — a bill that could reshape rate structures, clean energy procurement, and grid modernization investment across the state.
TODAY'S QUICK ANSWERS
Q: What does the CPUC community solar decision mean for developers with California projects in their pipeline?
A: If the proposed decision stands as written, projects compensated under the Avoided Cost Calculator will likely be unfinanceable — the economics simply don't pencil out at those rates. Developers with California community solar in their near-term pipeline should prepare contingency plans and consider redirecting capital to states with more favorable rate structures, while also engaging in the CPUC comment process before a final vote. The stakes are enormous: California's community solar market could effectively go to zero.
Q: Why should the industry take the Trump administration's offshore wind signals seriously after a year of hostility?
A: The political calculus is shifting. Republican governors in coastal states are lobbying hard for the manufacturing jobs and economic development tied to offshore wind supply chains, and energy security arguments resonate with an administration focused on "dominance." While skepticism is warranted, developers should prepare to move quickly if lease sales or permitting restarts — first-mover advantage in a thawed market could be worth billions.
Q: What does the UMass permitting study mean for the national permitting reform debate?
A: The finding that 90% of state-level solar and wind projects are permitted within roughly a year undermines the blanket claim that permitting is broken everywhere. The real bottlenecks appear concentrated at the federal level and in specific local jurisdictions with organized opposition. This distinction matters for policymakers: targeted fixes at the federal and interconnection level may deliver more results than sweeping permitting overhauls that risk weakening environmental review across the board.
THE BOTTOM LINE: California's simultaneous community solar setback, battery project cancellation, and VPP innovation illustrate a state — and an industry — pulling in multiple directions at once, while the Trump administration's surprise offshore wind signals and a steady Midwest solar buildout remind us that the clean energy transition is rarely a straight line.