This is because only a small fraction of the residential rates goes to production costs, and the rest go to distribution infrastructure and operations. Distributions and infrastructure costs/ kWh go with more residential production, not down.
Think of it this way. With commercial power you might pay 0.10/kWh production and and 0.30wh distribution. You can make your own rooftop for 0.35/kw, but the grid still costs the same or more, so that gets added to your bill.
Residential rates for rooftop solar only ever made sense as a huge subsidy for early adopters.