Dec 23 (Reuters) - SolarCity Corp said on Wednesday it will immediately cease solar sales and installations in Nevada, a day after the state's utilities commission approved changes that would reduce credits customers receive to sell solar power back to the grid.

The commission would reduce the price Warren Buffett's NV Energy pays customers for excess energy their rooftop solar panels produce and change the flat service rate for customers with solar panels.

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SolarCity, which is backed by Tesla Motors Inc's CEO Elon Musk, said will fight the "flawed decision".

The changes drafted by the commission will take effect on Jan. 1.

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SolarCity's shares closed at $51.48 on the Nasdaq. The stock had declined nearly 4 percent this year to Wednesday's close. (Reporting by Sneha Banerjee in Bengaluru; Editing by Sriraj Kalluvila)