The advantages of installing solar panels are enormous. According to a post by Forbes, even with stagnant energy prices, homeowners can save up to $1600 annually. Of course, with rising energy prices, the savings compound. Despite such a distinct advantage, many homeowners are still in two minds about installing solar panels.
Often, their primary concern is HOAs. That’s why today, we will answer the question: Can an HOA Deny Solar Panels In California? We will answer this question once and for all.
Can My HOA Block Solar Panels?
To put it simply, HOAs can’t legally stop you from installing solar energy panels on your roof. The reason for this is the Solar Rights Act of 1978, which governs HOA and solar panels.
The act limits the abilities of HOAs to prohibit the installation of solar panels unreasonably. That directly puts a ban on solar panels under the Unenforceable HOA Rules California as it becomes in violation of the act.
As per Senate Bill 100 (2018), California aims to migrate retail electricity sales to renewables and zero-carbon sources. It aims to migrate up to 60% of electricity to renewables by 2030 and 90% by 2035. With such ambitious targets, the state authorities, of course, won’t prohibit individual homeowners from installing solar panels.
Above, we spoke about the Solar Rights Act of 1978 governing the installation. Before we proceed any further it’s time to understand what exactly the act states.
California’s Solar Rights ACT
1. Firstly, HOAs can’t ban solar energy systems outright. That instantly makes the “No Solar Panels” policy of any HOA illegal.
2. HOAs can impose reasonable restrictions on solar energy systems. However, they don’t have the right to impose restrictions that significantly increase the cost of the systems or reduce their efficiency.
3. If you’re wondering how much efficiency they can reduce through restrictions, the act puts the number at less than 10%. Additionally, it states that the HOA restrictions shouldn’t increase the cost by more than $1000.
4. The act covers solar photovoltaic systems and even solar heating systems.
That means the HOA can’t hamper your solar energy system installation. However, the act provides some power to the HOA to place reasonable restrictions.
Below, we will cover some of the most obvious concerns HOAs have and how you can convince them.
Common HOA concerns & How to Handle them:
The most common HOA concerns and their solutions include:
Aesthetic Deterioration
Most neighborhoods and communities have a common aesthetic theme. HOAs often obstruct solar panel installations because the panels might impact this common aesthetic theme.
The solar panels do modify the aesthetic theme but not significantly.
The best way to convince HOAs is to provide them with a visual mock-up even before the installation. With solar panels becoming sleeker, their impact on the aesthetics is minimal.
Impact on property values
Another objection most HOAs have is the impact on property values due to modified curb appeal and aesthetics. Additionally, some buyers might not prefer properties which have solar panels installed leading to lower demand which according to HOAs can once again impact property values.
All you need to do to convince them is to present the evidence that solar panels boost home values instead of reducing them.
For example, according to a post by the National Association of Realtors, homes with solar panels are usually listed at 56% higher prices than their counterparts in the same neighborhood.
Impact on structural integrity
HOAs also object to solar panels because they add an additional load to the roof, which might impact the structural integrity of the homes. This objection becomes even more critical in multi-unit and shared properties.
Follow the solutions below to counter this objection.
Step 1: Get a roof structural inspection done. Ensure you get it done by licensed and certified professionals.
Step 2: Choose a licensed and certified solar panel installation company and submit proof of their credentials to the HOA.
Step 3: Ppt for non-invasive mounting solutions. Inform the HOA about this choice.
Step 4: Opt for a solar panel warranty and insurance policy to cover any liability arising out of their installation or maintenance. Submit the details of the same to the HOA.
You need to provide ample evidence to the HOA that the structure is not at risk due to solar panel installation. The more evidence you provide, the easier it is to get permission from the HOA.
Lack of proper policy
Some HOAs restrict the installation of solar panels because they have not formulated a policy regarding them. Even though this is a mistake on their part, it can obstruct your solar panel installation.
The solution to this problem is simple. Take a printout of California’s Solar Rights ACT and simply show it to them. They won’t be able to object after that.
HOA vs Homeowner Rights in California
In case you think the HOA is being unjust, it’s important to know your rights pertaining to the installation of the solar panels. Few such rights include:
1. The home owners are entitled to solar installations. However, HOA can ask you to remove the panels during maintenance.
2. If the homeowners deem the rules or restrictions formulated by the HOA to be outdated, discriminatory or unfair, they can change the association’s rules. The board can’t stop them from doing that if they get a majority vote in their favor.
3. Homeowners can also take formal action against any special assessment charge being levied by HOA.
4. Homeowners can challenge the HOA policies through legal means if they aren’t compliant with California’s Solar Rights ACT.
5. In case the HOA decides to impose a fine on you or take any disciplinary action, you as the homeowner have the right to disciplinary hearings.
6. Homeowners can’t be discriminated against by the HOA, even if the HOA doesn’t allow installation of solar panels on their property.
What Restrictions Can an HOA Legally Impose on Solar Panels?
Under certain conditions, the law does give HOA the power to enforce additional provisions.
As per Civil Code 4746 (b), 714, 714.1, the HOA can impose such provisions if the solar panels are to be installed on the roof of a multifamily structure. In such a case, too, the HOA can’t prohibit the installation outright but rather requires the homeowner to get a solar site survey done to ensure the solar panel installation is feasible.
What to Do If Your HOA Denies Your Request?
Despite the law aligning with the homeowners with respect to solar panel installations, HOA can decline your request for the same. In such a case, follow the steps below to get the permission.
Step 1: Request for a written response from the HOA highlighting the reasons for denial.
Step 2: Go through the solutions we have highlighted above and appeal the decision. In the appeal meeting, present documentary evidence as to why you should be allowed to install solar panels on your property. Additionally, you can also get endorsement from experts during the appeal meeting.
Step 3: Most homeowners think that if their appeal is also declined, the only option they have is to take legal recourse, but that’s not true. Opt for mediation in such a case. The California Civil Rights Department, under the Dispute Resolution Division, provides mediation services.
Only when all these methods fail to yield results, should you think of taking the legal resource. After undertaking these steps getting permission to install solar panels shouldn’t be that difficult.
Pro tip:
During this process and afterwards, always keep your communication with the HOA board positive and respectful. That will make things easier.
California Incentives for Solar Panel Installation
So, now that you’re aware of the fact that your HOA can’t restrict solar panel installation, it’s time to understand what other incentives you can get for installing the panels.
California’s Self-Generation Incentive Program
The California Public Utilities Commission proposes a $150 rebate for every 1 kWh.The rebates climb up to $ 850 per kWh if you are located within certain regions or meet the income criteria.
Exclusion from Property Tax Increases
Many states protect homeowners who install solar panels from property tax increases in subsequent years. According to the California State Board of Equalization, a solar energy system installed on a property is not assessed and added to the current market value of the property. That means the property tax won’t increase solely because of the solar energy system. So, while your home value is likely to increase due to the solar energy system (report cited above), your property tax isn’t going to increase.
California’s Single-family Solar Affordable Solar Housing (SASH) Program
Homeowners qualifying under the SASH program can get upto $ 3 per watt for solar energy system installations. With the current cost per watt of solar panels hovering around $3.6 per watt, this program subsidizes the installation by as much as 80%.
Net metering options
The state of California allows homeowners to sell the surplus solar energy they generate to the grid. The rate at which they are compensated is 8 cents per kw. The rates are dynamic and rise at times when the demand for electricity is at its peak.
The net metering initiative is another form of indirect incentive that makes the installation of solar panels more lucrative for homeowners.
What do HOAs of different Regions in California Say?
The state laws are pretty clear about HOA Solar Rules, but they allow HOAs across regions to place restrictions. Therefore, we will now cover the restrictions placed by HOAs across regions.
Calimesa
The city of Calimesa has many HOAs, but most of them are pretty liberal when it comes to solar panels. Take the example of Oak Hills Estate. The Oak Hills Estate HOA requires you to submit the plans for the installation to the City of Calimesa and the Architectural Committee for approval. After the approval, owners can install solar energy systems.
Cathedral City
Many HOAs in Cathedral City are even more open to the installation of solar energy systems. The primary example is that of Canyon South 1 HOA. For those of you who aren’t aware, it’s a condo community constructed in 1973.
A recent resolution adopted by them stated that all residents of the community have the right to install solar energy systems on roofs as long as the installation complies with the state laws.
Highland
Cities like Highland on the other hand have updated their codes to make solar a must have for all new single family homes. That’s why the HOAs don’t object when it comes to installation of solar panels.
The reason why so many cities and HOAs are now adopting solar and making it easier for residents to install solar panels is because of the Solar Rights Act and more awareness about it.
FAQs
What power does an HOA have in California?
HOAs in California can collect fees, impose penalties, lien property for nonpayment of fees, enforce rules, and manage common areas. They can restrict the installation of solar panels but can’t ban them outright.
What are the exceptions to the California Solar Mandate?
The California Solar Mandate excludes homes that are unsuitable for harnessing solar power, such as those in excessive shade or having limited roof space.
Do all new California homes have to have solar?
Yes, all new homes up to 3 stories high must have solar panels. This includes condominiums, single-family homes, and even solar panels on townhouses.
Conclusion
So, the answer to the question, Can my HOA stop me from going solar? Is a clear no. HOA Solar Restrictions are within the ambit of law, but HOA California organizations can’t ban them. Follow our guide above, and it will be easy to obtain permission from your HOA to install solar panels, which will drastically reduce electricity costs.
Want to install solar energy panels on your roof? Contact us today & we can help you harness the power from the sun in no time.
