How California's NEM 3.0 Changed the Solar + Storage Equation

California's Net Energy Metering 3.0 policy, which took effect in April 2023, fundamentally changed the economics of residential solar. Under NEM 3.0, the value of solar energy exported to the grid dropped by approximately 75% compared to NEM 2.0. This shift has made battery storage a critical component of new solar installations, as homeowners benefit more from storing and using their own solar energy rather than exporting it.