In 2024, Idaho Power was granted permission by the Idaho Public Utilities Commission (PUC) to reduce how much they pay rooftop solar owners for the extra power they generate. Groups like the Idaho Sierra Club and Portneuf Resource Council warned this could open the door to even deeper cuts to the value of solar energy produced by farmers, homeowners and businesses.

Turns out they were right.

Idaho Power is now asking to slash those payments again—this time from 6.18 cents per kilowatt-hour (¢/kWh) to just 2.46¢ on average. That’s nearly a 75 percent drop from the rate Idahoans had relied on for over a decade. The new rate could kick in as early as June 1, just in time to undercut the high output in the summer months.

This isn’t just about solar panels. It’s about property rights, fair market value, and energy independence. It’s also about holding state regulators, like the PUC, accountable for protecting Idahoans from price gouging.

Many Idahoans buy solar to help control their rising energy costs. Since 2000, the price of residential power from Idaho Power has more than doubled: from 5.4¢/kWh to 12.8¢. Solar gives families and small businesses a hedge against energy increases, while offering emergency power and increased self-reliance.

Jeremy Brunson, a high school teacher in Meridian, shared this: “Last summer, I sent 1.6 megawatt-hours into the grid. Idaho Power then sold that electricity to my neighbors, for a profit. But I still had to pay bills over the winter, even though I generated more than I used. Before those changes, this energy would have covered my winter power needs. I generate more energy than I use, and I still get a bill.”

Fred Johnson, a property owner in Marsing, had a similar story. “We invested in solar expecting lower bills under net metering. But right after our system was installed, Idaho Power switched to ‘net billing.’ Now we have a solar loan and a power bill. They’ve completely removed the incentive for solar power.”

The change from net metering to net billing was a big one. Under net metering, solar customers earned credits at the same rate they paid for electricity. Net billing, on the other hand, pays them wholesale-like rates that vary by time of day and season. In the spring or fall, that can be as low as 0.9¢/kWh, less than a penny, for energy Idaho Power turns around and sells for 12¢ or more.

If we believe in market fairness, shouldn’t customers get a reasonable return for the power they produce?

Alex McKinley, who runs Empowered Solar, a small Idaho business, put it this way:

“People go solar to lower their bills and gain energy freedom. Idaho Power is trying to take that away by skewing the rates in their favor. It’s not right.”

Idaho Power’s proposed cuts are based on their own internal report, the “Value of Distributed Energy Resources” from 2022. Experts pointed out that this report relies on cherry-picked data and assumptions that are flawed and outdated. A separate, independent analysis by Crossborder Energy found that Idaho Power is heavily undervaluing rooftop solar.

Because Idaho Power has no competition, state oversight is critical. The job of the PUC is to keep monopoly utilities in check and ensure fairness. When regulators just rubber-stamp proposals like this, that’s not capitalism—that’s cronyism.

Even if you don’t have solar, you’re affected. The PUC also approved a hike in Idaho Power’s flat monthly fee, from $5 just a few years ago to $15 now. That hits lower-income families and seniors hardest, and when people don’t pay per kilowatt, they’re less likely to conserve.

On top of that, Idaho Power wants to adjust the solar export rate every single year, so there’s no way for homeowners to calculate whether their solar investment will ever pay off. What responsible family or business would invest in a system with no stable return?

Mike Engle, Chair of the Portneuf Resource Council, summed it up: “We need the PUC to protect every Idahoans’ right to generate their own power. This proposal makes an already bad deal worse.”

Let’s remember that rooftop solar increases energy resilience, creates local jobs, and provides power during emergencies. In a time of growing federal overreach and inflation, local energy production should be a conservative priority.

Idahoans believe in freedom, fairness and responsible stewardship. If monopoly power companies are allowed to rewrite the rules to boost their bottom line, customers lose. If Idaho Power’s proposal is approved, it will mean fewer choices, higher bills, and less control over our own energy.

It’s time for the PUC to say no. Idahoans deserve fair compensation for the power they produce.

Make Your Voice Heard. The Idaho Public Utilities Commission is accepting public comment now. Visit puc.idaho.gov/Form/CaseComment and reference Case #IPC-E-25-15.