Yes. It also makes the price of electricity very high in California. The reasons for this, however, may not be so obvious.
As I have posted here before, the cost of electricity in CA is much higher than most of the rest of the country.
Residential electricity rates:
California 26 cents per kwh
Oregon: 11 cents
Nevada: 14 cents
Arizona: 13 cents
US Avg: 15 cents
In the past decade, California green policies have resulted in a large amount of solar power capacity added. Electric power rates have gone up faster than the US in general. Part of the reason for this disparity is because of the regressive nature of who pays for the electricity. It is a system where those with money enjoy the benefits, while the low and middle-income people pay the money to keep the grid operable. I call that a regressive payment system. Isn’t that supposed to be a bad thing?
From the link:
However, because lower-income residents use only moderately less electricity than higher income households, they end up with a disproportionate share of the burden, according to the study. And while the bills of older, wealthier Californians continue to decrease as they adopt cost-efficient alternatives like the state’s Net Energy Metering solar program, costs will keep rising for a shrinking customer base composed mostly of low- and middle-income renters who still use electricity as their main energy source.
“When households adopt solar, they’re not paying their fair share,” Fowlie said. While solar users generate power that decreases their bills, they still rely on the state’s electric grid for much of their power consumption — without paying for its fixed costs like others do.
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With the high price of electricity, along with the recent spike natural gas prices, many utility customers are falling behind in paying their bills.
“We have about 3.7 million customers,” said Anthony Wagner, an SDG&E spokesman. “Of that, approximately 341,000, or 25%, are at some level, behind on their bill.”
Delinquencies are counted as people who are at least 30 days late in paying their bills.
Most of those delinquencies are more than 60 days late, a surprisingly large number.
“Five years ago the numbers were more like 10%-15% were behind,” said Mark Wolfe, the director of the National Energy Assistance Directors Association. “25% clearly suggests that the cost of home energy is becoming unaffordable for many families. And the programs that are in place are not sufficient to help them pay these bills.”
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Projects like this microgrid in the Inland Empire in the OP are just going to increase the price of electricity even more.