On December 15, 2022, the California Public Utilities Commission (CPUC) voted on their new proposed decision (PD), which included a big win for the multifamily and multi-unit market. The PD will revise the Net Energy Metering (NEM) tariff for single family homes, but they are not making changes to the Virtual Net Energy Metering (VNEM) sub-tariff at this time.
“The Commission finds that the record in this proceeding does not contain a sufficient analysis of the VNEM and NEMA tariffs. In comments to the proposed decision, Ivy Energy correctly asserts that the Lookback Study omits any analysis of VNEM or the multifamily sector as a distinct customer class.” - Direct Quote from the CPUC’s Proposed Decision
Ivy Helps Secure No Changes to VNEM Tariff
One of our core values is advocating for our customers and influencing policy. That was the driving force behind our involvement in the NEM 3.0 proceedings, as we saw that the multifamily sector was severely underrepresented in the proceedings. Standing up for our customers is part of our commitment to our mission of helping more people and communities realize the financial and environmental benefits of solar. But, to successfully impact the outcome of major policy changes is cause for celebration and cements our continued role in future VNEM decisions.
Ivy’s VNEM Advocacy
VNEM is the key policy that enables multifamily owners to monetize onsite solar panels. Yet, the CPUC’s lookback study and original proposal overlooked the fact that all of their data came from the single-family home market. With VNEM projects only accounting for 1% of the live solar projects in California, changing the VNEM tariff this early in adoption and without proper data could effectively cripple the future of the market.
Ivy made several points in their comments on the NEM 3.0 docket:
- The CPUC should perform a deeper analysis of the multifamily solar market before making changes to VNEM.
- Highlighting the opportunity to improve equity between renters and homeowners.
- Countered false claims made by investor-owned utilities that VNEM systems don’t serve onsite load.
- Showed crucial evidence that multifamily solar assets could greatly benefit the electric grid.
Securing the Future of Multifamily Solar
Ivy Energy will work with the CPUC in 2023 through a multifamily-specific workshop to analyze the unique factors influencing multifamily solar adoption and outcomes. This will provide the CPUC with a better understanding of the split incentive issue and others that are key contributors to multifamily solar adoption being about 10 years behind the residential solar market. In the meantime, customers who apply for VNEM before April 15th will be locked into the NEM 2.0 tariff for 20 years, and those applying after April 15th will be locked into the NEM 2.0 tariff for 9 years before transitioning to a future tariff. This allows the multifamily market a much longer runway of opportunity to catch up with the solar adoption of the single-family market, and Ivy will be there every step of the way to advocate and help building owners monetize onsite solar.
"We are thrilled that the CPUC has decided to further evaluate VNEM before making changes," said Dover Janis, CEO of Ivy Energy. "This decision will allow us to continue to develop and operate VNEM solar projects that provide clean energy and cost savings for California residents, while also creating jobs and economic opportunities in the state."
Pioneering the Future of Multi-Tenant Solar Energy Management
2024 was a trailblazing year for Ivy Energy, where we shattered barriers, redefined possibilities, and delivered innovative solutions to address the multi-tenant solar split incentive challenge. By driving product advancements, forging impactful partnerships, and scaling operational processes, we empowered multi-tenant properties to embrace clean energy with confidence.
A Year of Growth and Market Expansion
Ivy has grown its active project pipeline 450% compared to 2023, with a line of sight to clear +600% in active projects by the end of the year. Our tech-enabled solutions empower more communities than ever. With $18M in Series A funding (Read more) and the strategic acquisition of Glow Energy (Read more), we are poised for unprecedented growth and impact. This investment enables us to enhance our technology, streamline operations, and expand our reach into new markets nationwide.
Entering new markets with increased resources allows us to address diverse energy challenges and deliver tailored solutions to property owners and tenants. Additionally, the launch of our consulting arm provides expert guidance for our clients and partners to save money and enhance ROI while navigating intricate solar investments.
Meaningful Operational Updates
At Ivy, innovation isn’t just about technology—it’s about creating digital tools that empower our clients and their tenants:
- PropTech Integrations: Partnered with RealPage, Entrata, and Yardi to automate rent roll syncing, move-in/move-out updates, and direct charge posting to resident ledgers. These integrations reduce monthly processing time by up to 2 hours per property while enhancing data accuracy and operational efficiency.
- NEM Credit Delay Optimization: The Utility Coordination team adopted the CPUC informal complaint process to reduce delays in NEM activation after PV solar system commissioning. This improvement cut the average resolution time for delayed NEM credits from 123 days in 2023 to 49 days in 2024, allowing property owners to see Net Operating Income over two months sooner on average.
Platform Advancements that Lead the Industry
Our engineering team broke new ground, ensuring our platform stays ahead of the curve:
- Migrated to a new infrastructure processing system for faster processing and further automation improvements across operational features.
- Introduced IvyDual in response to regulatory requirements in California, which allows us to enter new markets where consolidated billing is not viable.
- Achieved SOC 2 Compliance, reaffirming our commitment to data security. (Read more)
- Built initial public API for Conservice integration and new utility data access pathways, strengthening our platform’s versatility and reliability.
Empowering Positive Experiences with CX
At Ivy Energy, our customers rely on us as true partners in their clean energy journey, helping them achieve long-term NOI growth while providing exceptional support for property owners and tenants. We consistently deliver this experience by simplifying complex utility processes and offering our white-glove service that ensures our clients feel supported, informed, and empowered to succeed. This year, Ivy’s Customer Experience Team launched two significant platforms:
- Ivy Implementation Portal: A step-by-step, transparent portal that simplifies solar implementation for our clients and partners across multiple organizations. (Watch a walkthrough of the new portal here.)
- Resident Help Center: Educate tenants about the solar program with helpful resources and offer direct support online or by phone. (Explore the Help Center)
Shaping the Future Through Thought Leadership
In 2024, Ivy Energy reinforced its position as an industry leader; our Virtual Grid 3.0 impressed the judges and earned first place in Solar Power World’s “Best in Show” award for large-scale solar innovation. (Read more)
Leadership team members Alex Dogan, Tanya Kuhn, and Sean Nam were celebrated in San Diego Business Journal’s Leaders of Influence in Technology 2024 for their contributions to advancing sustainable energy. (Read more) Ivy was also featured in Alt Energy Magazine (Read more), San Diego Business Journal (Read more), and on Solar Academy. (Read more)
Logan Carter showcased Ivy’s groundbreaking innovations in a main stage speech at Cretech NY (Watch here), an engaging appearance on the IMN Podcast (Listen here), and a deep-dive interview with Chris Moreno, also known as “Mr. PropTech.” (Watch here) Ivy’s policy team further expanded its influence by authoring a Model VNEM Whitepaper, a critical guide to enabling multi-tenant solar models nationwide. (Read the Whitepaper).
Measurable Environmental Impact
This year, Ivy Energy amplified its environmental contributions, with contracted units in implementation set to offset an astounding 109 million pounds of CO2. Meanwhile, active units have already offset 9 million pounds of CO2, demonstrating our ongoing dedication to reducing carbon emissions.
Looking Ahead to 2025
As we celebrate 2024’s successes, we are always looking to the future. In 2025, we’ll continue to push boundaries, deliver innovations that empower our clients, improve tenant experiences, and lead the multi-tenant housing sector toward a sustainable future.
A Message from Dover Janis, CEO of Ivy Energy
“2024 was a year of progress and adaptation. While utility-caused delays challenged our growing pipeline, our focus on agile problem-solving reduced their impact and kept the market moving forward. This is a testament not only to the dedication and focus of our team but also to the strong macro-level foundation that the onsite energy business model provides for real estate owners, even in the face of monopoly-driven resistance. With a large and expanding customer base and hundreds of projects, we have continued to validate the transformative potential of clean energy solutions for shared communities. I’m incredibly proud of our team—now among the most mature, knowledgeable, and experienced in the industry—as we trail blaze the path forward. The market is primed to grow and drive transformative change in local communities. I’m deeply grateful to our partners and customers, whom we have the privilege of serving every day as we continue to lead the way.”
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