The government’s approval of a reward scheme for homes and other buildings with solar panels will see an around 20,000 electricity customers eligible for payments or money off their bills this year.
This means that electricity providers will pay for the power they currently get free from customers when panels produce more energy than a building can use. It will benefit households that don’t have battery storage units to hold on to excess power, and larger premises such as schools, community premises, businesses and farm buildings that have roof space for solar generation.
Two different payment schemes will be available, depending on the category of building and amount of power on offer. Households will get a ‘clean export guarantee’ tariff from their electricity supplier per kilowatt hour (kWh) of power provided.
The amount has not been set and will be modest – possibly around one-third the price customers pay to buy electricity.
A similar scheme in the UK pays around 3-5.5p per kWh and annual payments or bill credits can range from less than £50 to well over £150.
Payments or credits valued at up to €200 here will not be taxed, but it is likely that average domestic solar panels will come in under that threshold.
Larger buildings will receive an additional ‘clean export premium’ on top of the competitive tariff. It will start at 1.35 cent per kWh in 2022 and reduce gradually each year from 2024.
Existing State grants towards domestic solar panel installation will still be available and a new suite of grants for non-domestic applicants will be offered.
The first payments or credits on bills will be received by domestic customers soon after June this year.
LSL News.