They also don't have to spend money on EIRs, environmental lawsuits or install new infrastructure as the homeowner/generator sends the power back into the grid and right next door or across the street to their neighbor's house. The excuse they have used for the tiered rate structure is to promote a reduction on power usage by making higher rates per KWh over a "standard average" usage amount.
Fallacy two:"As more homes and warehouses get covered in solar panels, higher rates imposed on traditional consumers risk a growing conflict between renewable-energy advocates and power companies that foresee a backlash in California and 42 other states with similar policies."
SCE signed several contracts with big box stores and warehouses to install solar PV on the roofs of these businesses. The large square footage of these building's roofs can create several thousand KWh of generation where the power is used. In some cases the roofs will accommodate 1MW or more peak generation. As for Spain and Germany, Spain just mis-managed the whole solar energy program in that country. Germany used feed in tariffs which gave solar PV installations a premium price for the power they produced. PG&E and Edison are complaining about paying the homeowner/generator the same price the home owner pays for electricity. All this bantering is an excuse to ask the PUC for yearly rate increases.