Earlier quoted context omitted.
Because net metering is forcing the utility to purchase power at the retail rate. It doesn't make any sense. It isn't a profit margin issue. There is a massive infrastructure and expense to deliver wholesale power to an individual customer and it has to be recouped. Either you sell back your power at some percent of wholesale or solar installs need to get a corresponding increased delivery fee.
Another option is to split the fee into a 'connection fee', 'transmission fee' and a 'power fee'. Have the power fee set realtime by a market. The price might go to zero if there is excess generation. Have the transmission fee capped by a regulator - and charge it for any kilowatt hours that enter the power network. Allow third parties to arbitrage and offer 'fixed rate' deals, so consumers aren't at the whims of an…
Bill is split into market and (local) grid parts. Many consumers have now moved the market parts to realtime pricing, since fixed-price arbitraging has become so expensive.