Greens scrap VAT and planning permission for solar panels
Since Russia's invasion of Ukraine, electricity prices in Ireland have risen to almost 50% higher than before. Our vulnerability to fossil fuel shocks has forced every Irish household to foot the bill. Gaining energy independence through renewables is the answer to this cost of living crisis, and the progress made in recent years has been dramatic.
The Green Party’s ambition is to empower communities and households to install 700,000 rooftop solar PV systems in Irish homes and on 55,000 commercial premises by 2030. This alone will provide for 5% of our national electricity needs.
The number of homes equipped with solar panels has reached 94,000 so far in 2024, compared to under 60,000 in 2023. Alongside this, we are building new solar farms and putting panels up on thousands of farm and business roofs. Community solar projects are also taking off, with the first Renewable Electricity Support Scheme (RESS) auction in 2020 supporting seven community projects, including solar farms in counties Mayo and Galway. All of these are majority community-owned and reinvest profits back into local communities
Solar power has huge potential in supplying our energy needs and helping to achieve the targets in our Climate Action Plan, but high costs and planning regulations made installation a slow and difficult process. The Green Party has:
- Introduced planning exemptions which will allow for the installation of solar panels on public buildings, including schools, without planning permission.
- Reduced the VAT on solar panels to 0%.
- Introduced the Solar for Business scheme, which offers up to €162,500 for the installation of solar panels for commercial buildings. On average the cost will be paid off in only 5 years.
- Introduced the TAMS Solar Capital Investment Scheme to encourages solar power investments for farms, with enhanced grants of up to 60% of the cost.
- Legislated so that individuals and communities who generate excess power can now sell it back to the grid.
The combination of grant support and the removal of VAT on solar panels reduces the average cost of the supply and installation of solar panels for consumers from €9,000 to €5,600, bringing the average payback period down to 6 years.
There is huge potential across almost every rooftop in Ireland to install solar. This will create thousands of jobs, increase reliability and resilience in our energy supply and lead to a decarbonised future. These measures support key government policies on energy, our transition to Net Zero and will help us to achieve our EU renewable energy targets.
