The California Assembly passed SB 868. Governor Newsom has until September 30, 2026 to sign.
California's SB 868 — the Plug and Play Solar Act — passed the full Assembly on August 25, 2026. Governor Newsom has until September 30, 2026 to sign or veto. Sol Country will update within hours of his decision.
Note: One procedural step remains before the bill is transmitted to the Governor — the Senate must concur in the Assembly's August 20 amendments. This vote is expected imminently and is procedural.
If signed, California becomes the 9th signed state. The law takes effect January 1, 2027.
Important: this bill is not yet law. A veto is possible — pv-magazine USA reports the bill would not likely survive a veto by outgoing Governor Newsom, and legislators have not overridden a California governor's veto since 1979. Sol Country will update within hours of Newsom's decision.
Sunset provision: The interconnection exemption is valid through January 1, 2030. The Assembly added this four-year sunset provision at the request of utilities. The Legislature has the opportunity to extend or remove it before 2030.
Source: pv-magazine USA, Solar Power World, PlugInSolarUS — August 25-26, 2026
California passed. Governor Newsom is next.
The California Assembly passed SB 868 on August 25, 2026. The bill now awaits Governor Newsom's signature — the final step before California's 14 million renters gain the legal right to plug-in solar.
- Bill
- SB 868 — the Plug and Play Solar Act
- Status
- Passed both chambers — awaiting Governor Newsom
- Last action
- Passed both chambers · August 25, 2026
New York is also awaiting a governor signature
As of September 2026, California and New York are both awaiting governor signatures simultaneously — the two largest states in the awaiting-governor category at the same time.
- California deadline: September 30, 2026
- New York: Governor Hochul, until end of 2026
- May 20, 2026 — Passed full Senate 35-1
- Jun 10, 2026 — Passed Assembly Utilities & Energy 18-0
- Aug 13, 2026 — Passed Assembly Appropriations Committee
- Aug 20, 2026 — Ordered to third reading in the Assembly
- Aug 25, 2026 — Passed full Assembly
- Senate concurrence on Assembly amendmentsPENDING
- Governor Newsom signature — deadline September 30, 2026PENDING
- If signed, effective — January 1, 2027PENDING
“This is the most exciting clean energy idea around. With this bill, California is poised to fling its doors wide open to a real, tangible affordability solution for everyday consumers.”
“If we get this across the finish line, the market will change permanently. We'll have economies of scale. We'll have manufacturers come into the American market, and it will never be the same.”
Related California bills
Other California energy bills advancing today
Passed Senate Appropriations today. Heads to the Senate floor. Would reform California's stalled community solar program by directing regulators to properly value community solar and storage.
Also advanced today. Would give consumers more control over energy use and expand VPP access.
Note: Sol Country tracks SB 868 (balcony solar) as the primary bill. These companion bills affect the broader California energy savings picture.
The most significant unsigned state, by a wide margin
California rental units — 40% of all households in the state
More renters than the combined population of Colorado, Vermont, Maine, New Hampshire, and Utah.
That's more renters than the entire population of many signed states. If SB 868 passes, it would open plug-in solar access to more people than all 8 currently signed states combined.
Balcony solar isn't new technology. Germany has 4 million of these systems installed, where they're called Balkonkraftwerk. Spain has 1.5 million. The European market was $500 million in 2025 and is projected to reach $1.8 billion by 2033. The US — and California specifically — is just getting started.
Sources: Senator Scott Wiener's office, press release, May 20, 2026 · EWG press release, June 2026 · HNGN, July 31, 2026
HEAR heat pump rebates are active in California — up to $8,000 (single-family allocation currently waitlisted) for qualifying households. Full details →
WHY BATTERIES ARE ESSENTIALLY REQUIRED FOR CALIFORNIA SOLAR IN 2026
California's Net Energy Metering 3.0 (NEM 3.0) policy, which took effect in 2023, significantly reduced the credit California solar owners receive for power they export back to the grid. Under NEM 2.0, exporting excess solar to the grid earned close to retail rate. Under NEM 3.0, export credits are worth roughly 75% less — meaning the economics of California solar have fundamentally shifted.
What this means in practice
In California, self-consumption — using the solar you generate rather than exporting it — is now far more valuable than exporting. A battery that stores daytime solar for evening use is no longer optional for strong California solar economics. It's essentially required.
This is why Sol Country recommends California homeowners consider solar paired with a VPP-enrolled battery — the combination of self-consumption, time-of-use optimization, and VPP earnings makes the system economics work in a post-NEM 3.0 environment.
Home batteries in California 2026
NEM 3.0 changed the economics of California solar fundamentally in 2023. A battery that captures your midday solar for evening use saves $0.25-0.35/kWh instead of exporting it for $0.04-0.08/kWh.
Battery payback at California rates: a Tesla Powerwall 3 runs roughly 8-10 years without VPP, or 5-7 years with CalReady VPP enrollment — varies by usage and VPP dispatch events.
SGIP in 2026 — two very different programs
General SGIP (non-income-qualified): largely closed for new applicants in 2026. Do not count on general SGIP funding.
SGIP Equity Resiliency tier — still active: for income-qualified households in high fire-risk areas or areas with frequent outages: $1,100/kWh for storage plus $3,100/kW for solar — potentially $14,850+ for a standard battery. This tier serves exactly the California homeowners who need batteries most: those in wildfire-prone areas who experience Public Safety Power Shutoffs. A waitlist exists but the program is accepting applications. Verify current availability at sgipinfo.com. Ask your installer specifically about the Equity Resiliency tier if you are in a high fire-risk area.
Source: exspenditure.com California solar incentives guide, April 2026; energyrebatecalculator.com battery rebates, February 2026.
No federal tax credit: Section 25D expired December 31, 2025. Any quote including a 30% federal credit for a 2026 battery purchase is incorrect.
Important — not all California utilities follow NEM 3.0
The NEM 3.0 information above applies to PG&E, SCE, and SDG&E customers — the three investor-owned utilities regulated by the CPUC.
LADWP (Los Angeles)
Los Angeles Department of Water and Power is a municipal utility not regulated by the CPUC. LADWP has its own solar export rate structure — significantly more favorable than NEM 3.0. LADWP customers do not need to pair solar with a battery to make the economics work. Solar-only systems remain viable for most LADWP customers. Check current LADWP solar rates at ladwp.com.
SMUD (Sacramento)
Sacramento Municipal Utility District is also a municipal utility with its own programs. SMUD solar customers have better export economics than PG&E, SCE, and SDG&E. Batteries are valuable for backup and rate optimization but not mandatory for good economics the way they are under NEM 3.0. Check SMUD solar programs at smud.org.
How to know which utility you have
Your electricity bill shows your utility name. PG&E, SCE, or SDG&E means NEM 3.0 applies. LADWP or SMUD means better export rates and a different program structure.
For renters
For renters: balcony solar systems consume what they generate in real time — there is no export issue. A balcony solar kit is actually better suited to California's NEM 3.0 environment than a homeowner system without storage, because renters consume their generation immediately rather than exporting it.
NEM 3.0 took effect April 15, 2023. Sol-Ark, Wood Mackenzie, and EnergySage all cite NEM 3.0 as a primary driver of battery attachment rate growth. 40% of new US residential solar installations include battery storage — rising to 60%+ in California and other high-electricity-rate markets. Source: Solar Permit Solutions, April 2026, citing residential solar installation data.
CalMTA — window heat pumps and induction stoves for low-income renters
The California PUC approved $115 million for the California Market Transformation Administrator (CalMTA) to expand access to:
- 120-volt window heat pumps
- Induction stoves and cooktops
For income-qualified California residents in low-income communities. Both products are renter-friendly — no landlord permission required for a plug-in window heat pump or induction cooktop.
This program runs over 6 years (2026-2032). Contact your utility or visit cpuc.ca.gov for current enrollment details.
Worth knowing: SB 868's author, Senator Wiener, also sponsored SB 222 — the Heat Pump Access Act — which streamlines heat pump permitting statewide. Both bills show California is pursuing a comprehensive electrification strategy for renters.
Two paths most California homeowners never hear about.
Property Assessed Clean Energy (PACE) loans cover 100% of solar, battery, and home improvement costs with no money down. You repay through your property tax bill over 10 to 25 years.
- No upfront cost
- No income requirement
- Approval based on home equity, not credit score
- Transferable if you sell — the buyer assumes remaining payments
- Adds to your property tax bill
- If you sell, the buyer must agree to assume the PACE obligation
- Higher total cost than a cash purchase because of interest
California PACE providers: Ygrene, Benji (formerly Renew Financial), and CalFirst (through CAEATFA).
Verify current provider availability at energy.ca.gov. Source: exspenditure.com California solar incentives, April 2026.
DAC-SASH (Disadvantaged Communities — Single-family Affordable Solar Homes) provides fully subsidized solar installations for income-qualified residents in disadvantaged communities in California, across PG&E, SCE, and SDG&E territories.
- Must be in a California Disadvantaged Community — check at oehha.ca.gov/calenviroscreen
- Must be a single-family residential customer
- Income-qualified (at or below 80% AMI)
- Must be an existing CARE or FERA program customer
- Full solar installation at no cost
- Program administered by GRID Alternatives
Check eligibility at gridalternatives.org or contact info@gridalternatives.org. Source: energyrebatecalculator.com, February 2026; CPUC program documentation.
What a 1,200W system would save in California
A 1,200W system in Los Angeles produces approximately 1,900 kWh per year on a tilted mount.
At California's electricity rates that's $418-570 per year in savings depending on your utility.
- LADWP customers: ~$418/year($0.20-0.25/kWh)
- SCE / PG&E / SDG&E customers: ~$570/year($0.28-0.35/kWh)
Important caveat
SB 868 treats these systems as self-consumption only — there is no export credit for sending power back to the grid. The savings above assume you consume the solar generation in real time, which is how balcony solar is designed to work for renters.
Source: NRG Clean Power, August 2026.
California EV charger rebates — 14+ utility programs.
California has no statewide home EV charger rebate. But 14+ utilities run their own programs, ranging from $150 to $2,000. Which one you can claim depends entirely on the utility printed on your bill.
Check your specific utility for current availability — programs change annually.
Note: the federal 30C EV charger credit expired June 30, 2026.
What the bill would allow
The California Assembly passed SB 868 — the Plug and Play Solar Act — on August 25, 2026, after the Senate passed it 35-1 on May 20, 2026. Senate concurrence on the Assembly amendments is the final legislative step before the bill reaches Governor Newsom, who has until September 30, 2026 to sign or veto. If signed, California becomes the 9th signed state and the law takes effect January 1, 2027. Not law yet — a veto is possible.
- Wattage cap: up to 1,200W AC output
- Systems up to 1,200W AC output
- Must plug into a standard 120V outlet
- Must be used to offset onsite consumption
- Must meet NEC and California Electrical Code requirements
- Must be certified by UL or an equivalent nationally recognized testing lab
- Must automatically shut off if the grid goes down (anti-islanding protection)
- Utilities cannot require an interconnection agreement or charge fees
- Landlords cannot prohibit compliant systems (pending signature)
SB 868 is not law. pv-magazine USA notes the bill would not likely survive a veto by outgoing Governor Newsom, and California legislators have not overridden a governor's veto since 1979 — so unanimous votes do not make signature a done deal. The interconnection exemption is valid through January 1, 2030 — the Assembly added this four-year sunset provision at the request of utilities, and the Legislature has the opportunity to extend or remove it before 2030. Community solar and bill assistance are available in California today regardless of the bill's outcome.
Be first when California legalizes balcony solar.
One email the moment SB 868 — the Plug and Play Solar Act is signed — with the effective date, wattage limit, and every kit legal at your address.
State alerts · No spam
Remind me when California's law takes effect on Jan 1, 2027.
What you CAN do in California today
You don't have to wait for the bill to save on your energy bill.
Subscribe to a nearby solar farm and save 5–15% on your electric bill — no panels on your building.
Portable panels and battery generators don't require any state legislation. Great for outages, camping, and offsetting specific loads.
LIHEAP, WAP, and state programs can cut your bill by hundreds of dollars this year. Most renters qualify and don't know it.
Four low-cost steps that work in every state today — no landlord permission needed.
See what a signed law looks like
These states have already passed plug-in solar laws. Their pages show the wattage cap, effective date, and every kit legal at your address.
Frequently asked questions
- Is balcony solar legal in California right now?
- No. California's balcony solar bill (SB 868 — the Plug and Play Solar Act) has not yet been signed into law. Installing a plug-in solar system that requires utility interconnection is not currently allowed under California's existing rules.
- When could California's balcony solar bill pass?
- The bill is on the governor's desk. Most governors act within 10–30 days of receiving a bill.
- What can I do in California today while I wait?
- You can join a community solar subscription (no equipment install required), buy portable solar generators (no legislation required), and check whether you qualify for utility bill assistance. Details are in the "What you can do today" section on this page.
Balcony solar laws in other states
Track where plug-in solar stands across the U.S. - passed, awaiting signature, or advancing through committee.
- Massachusetts balcony solar billAwaiting governor signature · Balcony solar provisions in the 2026 energy bill
- New Jersey balcony solar billAwaiting governor signature · The Garden State Solar Act (S2368/A4836) — also referred to as the Garden State Plug-In Solar Act or Garden State Balcony Solar Act depending on the source
- New York balcony solar billAwaiting governor signature · SUNNY Act (A.9111-C/S.8512C)
- Arizona balcony solar bill2026 session closed · Previously advancing
- Colorado balcony solar lawLaw passed · HB26-1007
- Connecticut balcony solar lawLaw passed · HB 5340 / Public Act 26-127
- Florida balcony solar billBill introduced · Bill introduced
- Georgia balcony solar bill2026 session closed · Bill considered in 2026
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