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URCO reviews public complaints over rooftop solar rules

The Cayman Islands’ utility regulator is reviewing concerns over rooftop solar installations following complaints about Caribbean Utilities Company (CUC) tied to a public petition.

The Utility Regulation and Competition Office (URCO) said in a statement issued on 25 May that it had received enquiries on the topic.

These related to customer communications, approval procedures, installer requirements and the distinction between regulatory obligations and utility company operating processes, it said.

The review comes following the publication of a Change.org petition titled ‘Stop CUC From Threatening Cayman Homeowners Over Their Own Solar & Battery Systems’.

The petition alleges that residents with solar and battery installations are being told their systems are non-compliant despite being installed by licensed contractors.

According to the petition, some homeowners with stand-alone systems not connected to the CUC grid were informed that their installations still required utility approval.

The petition argues there is no legal or technical basis for CUC to regulate systems that are not interconnected to its network.

Clear separation of roles

URCO confirmed it had already started gathering information on the matter and wrote to CUC last week regarding communications tied to unauthorised solar installations and homeowner participation in solar programmes.

According to the regulator, the correspondence emphasised the importance of clearly reflecting the separate roles of URCO, CUC and government agencies involved in the approval and inspection process.

Those agencies include the Building Control Unit, the Electrical Inspectorate and the Electrical Board of Examiners.

The regulator said communications referencing legal obligations, offences, reporting requirements, enforcement actions or deadlines must be framed within the relevant legislation, approved programmes, licence conditions and regulatory frameworks.

URCO also stated that communications should not imply CUC independently decides compliance obligations or enforcement outcomes.

Programmes are restrictive, petition argues

The petition further criticises Cayman’s distributed energy framework, arguing that existing renewable energy programmes are restrictive and place too much control over approvals in the hands of the utility provider.

Among its demands are a moratorium on enforcement actions against existing solar and battery installations, grandfathering protections for homeowners, removal of caps on distributed energy programmes and an independent review of communications sent by CUC to installers and residents.

URCO, meanwhile, said it supports efforts aimed at improving visibility of distributed generation systems and encouraging compliance with safety and regulatory standards.

However, it added that any follow-up actions, enforcement matters, compliance programmes or further communications linked to the issue should involve engagement with the regulator.

The office said it is continuing to assess the matter and will determine whether further clarification or guidance to the market is needed.

According to the regulator, any additional measures would aim to ensure a “clear, consistent and legally sound approach” that does not create unnecessary barriers to homeowner participation in solar and renewable energy systems.

Cayman Independent has reached out to CUC for comment and is awaiting a response.

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