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Is it feasible? Is it legal? Sunnova micro utility plan explained as CPUC mulls decision

Homebuilders and solar installation providers are coming together “to construct and operate public utility microgrids” and to “establish rates for service.”  This new approach will require approval from California's Public Utility Commission (CPUC) but according to Ben Schwartz, with the Clean Coalition, this could be the beginning of something great.  Is it legal? Is it feasible? If approved, how would it impact the utility sector?