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ARTICLE · 16 SEPTEMBER 2015

Arizona Rooftop Solar Regulations Highlight Distributed Generation Debate

Sunny Arizona is again in the middle of a nationwide debate between solar companies and utilities.

United StatesEnergy and Natural Resources

Sunny Arizona is again in the middle of a nationwide debate between solar companies and utilities. Legislation adopted in March 2015, and which goes into effect on January 1, 2016, mandate certain disclosures and formats for leases used by rooftop solar companies, such as disclosure of the total lifetime cost of the system and the use of ten point typeface.

Proponents support the new rules as consumer protection legislation. Opponents have viewed the rules as unnecessary and as an additional burden aimed at generating fears and discouraging solar rooftop adoption.

The long-term lease model generally allows for customers to enjoy the benefits of solar power without having to expend substantial sums in setup costs. In a typical long-term solar panel lease arrangement, the homeowner will pay a monthly fee to the solar company to cover the costs of the panels over a relatively long period of time (often, 20 years). The cost of installation and maintenance of the panels

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