April 3, 2020: On April 3rd, the Kansas Supreme Court ruled that utilities cannot charge customers who generate their own power more than customers who do not. The Court ruled in favor of Earthjustice, the Sierra Club, and Vote Solar, who challenged a 2018 Kansas Corporation Commission decision approving extra fees (sometimes called "demand charges") on residential solar customers of Westar Energy (now Evergy). A news report indicates that Kansas solar installations dropped by more than a third after the demand charge was instituted.
There is a national trend, driven by utility lobbyists, of imposing additional fees on families who offset their utility purchases by installing their own solar and wind generation. The Court's decision states that Westar's attempt to charge more for distributed electricity generation, including home solar panels, was "simply price discrimination" that Kansas law "clearly prohibits." The court went on to rule that the "rate design is unlawful and the Commission erred by approving a discriminatory rate in violation" of Kansas law. The Court reversed the judgment of the Commission and remanded the matter back to the Commission for further proceedings.
Earthjustice and Sierra Club attorneys, with the assistance of local counsel Bob Eye and Dan Zmijewski, represented Sierra Club and Vote Solar at various stages before the Commission, Kansas Court of Appeals, and Kansas Supreme Court. The Climate and Energy Project participated at the Commission.