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Gov. Gavin Newsom signed SB 868 on Wednesday, making California the 10th state to allow plug-in solar systems without utility approval
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On Wednesday, California Governor Gavin Newsom signed a new law that lets residents set up small plug-in solar panels on balconies or in backyards without obtaining utility approval or paying interconnection fees.
The bill, SB 868, was authored by state Senator Scott Wiener (D-San Francisco) and received broad bipartisan support in the legislature. California is the 10th state to enact such a law since Utah became the first in March 2025, according to KQED.
A typical plug-in solar kit includes a handful of panels, an inverter, and the necessary cables; units can be mounted on a balcony railing, positioned outside a window, or laid out in a yard. Models currently on the market range in price from $300 to $2,200. Supporters argue the technology can cover up to 20% of a household's power consumption and cut bills by as much as $500 a year for a small apartment, according to KQED.
The law sets a 1,200-watt generation limit per household and requires that systems include a safeguard preventing electricity from flowing back to the grid when power goes out. Devices must carry certification from a recognized national testing organization, and the only step required of residents is informing their utility at the time of installation. The law takes effect in 2027 and sunsets January 1, 2030.
The U.S. market for plug-in solar is still nascent, and at present only Underwriters Laboratories offers a qualifying certification, which could mean certain products need a licensed electrician for installation rather than simply plugging into a wall outlet, according to KQED. Compliant solar kits should be available in California by early 2027, according to Bloomberg.
"These small, easy-to-use solar panels will give everyone, including renters, the relief they desperately need on our outrageous energy bills," Wiener said in a statement.
Major investor-owned utilities in the state, among them Pacific Gas and Electric Co. and SDG&E, came out against the bill, arguing it raised safety issues and could burden ratepayers who lack any form of solar power, according to KQED. Unions for firefighters and PG&E workers had also lined up against the measure early on, stepping back to a neutral stance only after the legislature added provisions mandating adherence to state and national electrical codes.
Adoption of the technology will also depend partly on whether landlords and homeowner associations permit installations. Cora Stryker $SYK, co-founder of Bright Saver, a Bay Area nonprofit dealing in plug-in solar systems, told Bloomberg she anticipates that future state legislation will take up those restrictions.
A similar bill is awaiting the signature of New York Governor Kathy Hochul, and nearly two dozen other states are considering comparable measures, according to Bloomberg.
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