The NEM 2.0 Grandfathering Deadline Is April 15, 2026
If you're a California solar homeowner who submitted your interconnection application before April 15, 2023, you have until April 15, 2026 to complete your grid connection and lock in NEM 2.0 rates. After this date, you'll be moved to NEM 3.0 regardless of when you originally applied. This deadline could mean thousands of dollars in lost savings if you miss it.
Why NEM 2.0 Matters So Much
Under NEM 2.0, your utility credits you at near-retail rates for excess solar energy you export to the grid — typically 25-35 cents per kWh with Southern California Edison. Under NEM 3.0, those export credits dropped to roughly 5-8 cents per kWh, a 75% reduction. Over a 25-year system lifetime, a Lancaster homeowner on NEM 2.0 could save $15,000-$25,000 more than an identical system on NEM 3.0.
Who Is Affected?
You're affected if you: submitted a solar interconnection application with SCE, LADWP, or another California utility before April 15, 2023, but haven't completed the physical grid connection yet. This commonly happens when projects face delays due to permitting, equipment supply chain issues, or installation scheduling. If your system is installed but not yet connected to the grid, contact your installer immediately.
What You Need to Do Right Now
First, check your interconnection application status with your utility — for SCE customers, this can be done through their online portal. Second, contact your solar installer to confirm your connection timeline. If there are any delays, escalate immediately. Third, if your system isn't installed yet, prioritize scheduling — most installers need 4-8 weeks for permitting and installation. With only days remaining until the April 15 deadline, every day counts.
What If You Miss the Deadline?
If you miss the April 15, 2026 cutoff, you'll be enrolled in NEM 3.0. While NEM 3.0 is less favorable for solar-only systems, adding battery storage like a Tesla Powerwall can help recover much of the lost value by storing energy for self-consumption during peak evening hours. The economics still work — they're just different.
Lancaster and Antelope Valley Solar Owners: Get Help Now
Advanced Conservation Systems has been Lancaster's trusted solar installer since 1983. If you're facing the NEM 2.0 deadline and need help completing your interconnection, or if you want to explore how battery storage can maximize your savings under NEM 3.0, call us at 661-945-4545. As a Tesla Certified Installer with 40+ years of experience, we can help you navigate this critical transition.