Pacific Gas & Electric (PG&E) serves more than 16 million customers across Northern and Central California — the largest service territory of any California utility. If you're building an ADU in a PG&E zone, here's exactly how Title 24 solar, NEM 3.0 net billing, and PG&E's interconnection process affect your project.
PG&E itself doesn't write building code, but California's Title 24 Building Energy Efficiency Standards apply to every new ADU in PG&E territory. That means almost every detached ADU permitted in 2024–2026 must include a properly sized rooftop solar PV system at the time of construction.
Local jurisdictions inside PG&E's footprint — San Francisco, Oakland, San Jose, Sacramento, Fresno, and hundreds more — enforce Title 24 at plan check. Plans without solar are rejected unless an exemption is documented.
Since April 15, 2023, all new PG&E solar customers — including ADU systems — interconnect under NEM 3.0, officially called the Net Billing Tariff (NBT). Export rates fell roughly 75% from NEM 2.0, which makes self-consumption (using your solar in real time) far more valuable than exporting to the grid.
For ADU owners, NEM 3.0 changes the optimal system design: pair smaller solar arrays with a battery (Tesla Powerwall 3, Enphase IQ Battery 5P) to capture mid-day production for evening tenant use.
After installation and final building inspection, PG&E requires Permission to Operate (PTO) before you can legally turn on your solar system. The interconnection application is filed online via PG&E's Your Project Tool.
Current PG&E PTO timelines run 4–8 weeks after submission. Your installer handles the paperwork — you just need to provide your PG&E account number and signed interconnection agreement.
Title 24-compliant ADU solar packages in PG&E territory range from $4,000 (Standard, cash) to $15,000 (Premium with battery). HDM financing reduces effective cost ~40% via commercial ITC pass-through. Cities with higher labor costs (San Francisco, San Jose, Berkeley) sit at the upper end.
In limited cases yes — under aggregated net metering — but Title 24 still requires the ADU to be permitted with its own dedicated solar system unless an exemption applies.
For standard residential systems under 30 kW (which covers all ADUs), PG&E does not charge an interconnection fee. PTO is free.
Permission to Operate typically arrives 4–8 weeks after your installer submits the interconnection application post-inspection.
Under NEM 3.0, exports are credited at avoided-cost rates that vary hourly. Credits roll month-to-month and any net surplus is cashed out annually at a low wholesale rate.