The financially favorable netting arrangement is also being phased out less quickly than previously planned. Homeowners with solar panels can deduct the generation of their panels from their consumption. Thanks to this arrangement and the current high electricity prices, the payback period for solar panels is much shorter, making it interesting to invest.
The netting scheme would initially be gradually phased out in 2023. The cabinet now wants to start in 2025. The phasing out will then go a little faster and will stop in 2031.
Jetten wants to achieve the tightened climate goals by stimulating sun. Additional solar power should also reduce dependence on fossil energy from Russia. In recent years, the Netherlands has grown from lagging behind in the field of solar generation to one of the global frontrunners, partly thanks to generous subsidies.
By obliging new business premises to be filled with solar panels, the cabinet hopes that fewer solar fields need to be built on agricultural land. The generation and consumption of energy are also coming closer together, so that companies use more of their self-generated electricity. This should reduce the pressure on the electricity grid.
To prevent problems in the future, Jetten has previously decided that new large solar parks can only claim subsidy if they cap their capacity at 50 percent of the maximum. Thanks to this measure, the largest peaks are smoothed out, while the total yield for owners decreases by only a few percent on an annual basis. This is because solar parks only deliver their maximum power in the spring and summer on very sunny days.
Capacity problems
Nevertheless, the decision is controversial, because the electricity grid is cracking under the rapid rise of solar energy. The influx on sunny days is already so great that not all solar power can be drained. Homeowners are also increasingly affected by the capacity problems, as a result of which their panels are switched off on sunny days.
Grid operators say they are in favor of promoting sustainable energy, but are against the proposed postponement of the netting scheme. ‘Congestion is occurring in more and more places on the grid, including in residential areas,’ says Huibert Baud, who is responsible for the design of the power grid at Liander. ‘We would therefore like to ensure that the electricity generated remains behind the meter as much as possible.’
This means that companies and consumers use their own electricity as much as possible and do not send it to the overloaded grid. That is why the sector prefers to see a boost to home batteries, where excess power is temporarily stored. As far as they are concerned, the netting scheme should be phased out more quickly. ‘In fact, with this scheme you are now encouraging consumers to connect to the power grid during traffic jams’, says Baud, who emphasizes that he is not yet familiar with the plans in detail. Grid operators say the problems will not be solved by 2025.
Due to the new cabinet measures, the growth of solar power will accelerate even faster. ‘We are in favour, but our expansion plans are not equipped for it, especially given the shortage on the labor market.’