(Photo by Will Stone - KJZZ)

Supporters of a pro-solar ballot initiative rallied outside the Arizona state capitol on Tuesday.

Supporters of a pro-solar ballot initiative are pressing Arizona lawmakers not to back a proposal that could undercut efforts to preserve net-metering and other favorable policies for rooftop solar.

Accusations of anti-competitive agendas and backroom efforts to sabotage solar were commonplace among the crowd of solar advocates, customers and employees gathered on the state senate lawn Tuesday.

“We are here to say no way, no how Legislature” said Kris Mayes, a former Corporation Commissioner who is now leading the Yes on AZ Solar campaign.

“We are here to say no sweetheart deals passed by this legislature for Arizona Public Service that would kill solar energy in Arizona,” said Mayes, referring to the possibility that lawmakers could pass a competing referendum in the final stretch of this legislative session.

Yes on AZ Solar is off to a fast start since launching earlier this month.

The campaign has $3 million in funding from national rooftop solar leasing company SolarCity and has put together a field operation to collect more than 200,000 signatures by early July. So far, more than 700 signature gatherers have registered with the state.

But news that Republican State Sen. Debbie Lesko could mount an opposing ballot proposal is forcing the campaign to fight on another front, as well.

State Rep. Ken Clark was among the democratic legislators championing the solar initiative at the rally.

He called Lesko’s possible legislation an “insidious way” to confuse voters.

“I don’t know of any democrat that is going to try to vote for any referendum they throw up,” said Clark as he urged supporters to contact their state representatives.

Specifically, the Arizona Solar Energy Freedom Act would protect state regulators from eliminating net-metering for the next six years. That billing mechanism reimburses solar customers at retail rates for the excess power they produce. The solar industry argues net-metering is a fair way to compensate customers, but utilities call it a subsidy that forces other ratepayers to pick up the tab.

The Arizona Corporation Commission has been holding meetings to more accurately determine the costs and benefits of distributed energy generation like rooftop solar systems. Meanwhile, Arizona’s power companies are lining up for a series of rate cases that could alter how solar customers are charged.

Among other things, Mayes’ initiative would prevent regulator from approving one of the most controversial rate changes coming from utilities, called a demand charge, which is tied to the peak hour when customers use the most energy.

“It strips away the constitutional authority from our elected officials,” said Lesko, “and instead it locks in retail preferred rates for just rooftop solar customers that may very well increase the cost to the majority of other utility customers.”

Lesko showed up for the rally despite criticism from those backing the initiative. While the language of her referendum is still being drafted, Lesko said her intention is to protect all ratepayers and keep decisions in the hands of regulators.

She also disputed the notion that APS is the driving force behind the referendum.

“I am not here to hurt solar at all. My option to the voters is to protect and promote the solar industry but not at the expense of the vast majority of ratepayers that don’t have solar on their houses,” she said.

Lesko expects the language will be finalized soon and that she will drum up enough support among lawmakers to get it on the ballot.

Court Rich is an attorney representing the Alliance for Solar Choice and other companies. He said the political activity at the corporation commission, especially concerns over dark money spending by APS, has rattled many of those involved in the solar industry.

“I think people have lost confidence in exactly how government will evaluate and make these decisions and it’s because of APS, not the elected officials,” said Rich, “This is the only way to get that dark money out of the system and have a fair decision made.”

A spokesperson for APS has said the company supports Lesko's efforts and will work with her once it’s finalized.

Yes on AZ Solar has until July 7 to gather the required number of signatures. 

.@DebbieLesko explains her referendum vs. #solar initiative to group of upset @YesonAZSolar supporters pic.twitter.com/vM33GW2tGn

— Will Stone (@WStoneReports) April 26, 2016