LawWiki
HomeCodesSearchGlossaryAPIAbout
LawWiki

Plain English summaries of California law with zero-hallucination AI. Every summary is verified against official source text.

Product

  • Search
  • Codes
  • About

Legal

  • Privacy Policy
  • Terms of Service
  • Disclaimer

© 2026 LawWiki. All rights reserved.

HomeFinancial CodeDiv. 15.5Ch. 1Art. 3§ 32216 Energy Savings Investment Ratio

§ 32216 Energy Savings Investment Ratio

Financial Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 32216 Energy Savings Investment Ratio

Key Takeaways

  • •This law is about figuring out if saving energy is worth the money you spend to do it.
  • •You add up all the money you save on energy and other good stuff (like tax breaks).
  • •Then you add up all the costs (like fixing things, taxes, and loans).
  • •Finally, you divide the good stuff by the costs to see if it’s a good deal.

Example

You want to buy solar panels for your house.

You add up how much you save on electricity bills and any tax breaks. Then you add up the cost of the panels, installation, and maintenance. If the savings are way bigger than the costs, it’s a good idea.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 32216 Energy Savings Investment Ratio

“Savings-investment ratio” means an analysis of the proposed system in which energy cost savings are added to other net benefits and costs from operation, maintenance, replacements, depreciation, tax credits and financing costs, and divided by initial investment costs. All benefits and costs are to be evaluated in present or constant dollars. (Added by Stats. 1980, Ch. 819, Sec. 1.)

Last verified: January 23, 2026

Key Terms

savings-investment rationetbenefitmaintenanceoperationdepreciation

Related Statutes

  • § 32218 Cost-Benefit Investment Standard
  • § 22064 Tax-Exempt Investment Exemptions
  • § 22066 Nonprofit Small Dollar Loans
  • § 22104 Finance Lender Net Worth
  • § 5304 Savings Association Bribery Prohibition

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Financial Code. Section 32216.
View Official Source