Opposition to end of subsidy for solar power, bill seems to die in senate

The proposed phasing out of subsidies for solar panels has not yet received sufficient parliamentary support. Opposition parties PvdA and GroenLinks remain towards the end of the so-called net metering arrangement, which means that the bill in the Senate seems likely to die. The coalition does not have a majority in the Senate. PVV and SP also oppose the abolition.

During a debate in the House of Representatives on Thursday, the main focus was on the arrears among tenants. Solar panels are installed on one in three owner-occupied homes, while only one in six is ​​for rental homes.

According to PvdA and GroenLinks, it is still clear how energy minister Rob Jetten (D66) wants to make up for that difference between rental and owner-occupied homes. They also demanded an alternative ‘sun policy’ on Thursday if the net metering scheme will eventually disappear. “I first want to see ambitious plans, before then I cannot agree with this law,” said Suzanne Kröger (GroenLinks). In the spring, Jetten will introduce a tightening of climate policy, but, he stated on Thursday, “solar energy is not an end in itself”.

Read also: To her surprise, the coalition was alone in abolishing the subsidy on solar panels

Most solar power

Partly thanks to the net metering scheme, the Netherlands generates the most solar power per capita worldwide after Australia. Owners of solar panels supply the unused power to the grid and that power can now be canceled (net) against the electricity that is consumed at another time. No tax is paid on that ‘swapped’ power and that is the subsidy from the government.

According to the minister, solar panels are now so cheap that subsidies are no longer necessary. In addition, the scheme also has disadvantages: according to the coalition parties, the costs for energy companies and the tax loss are divided among everyone. People who do not have the money for solar panels themselves also pay for it. This would be about 250 euros per household.

An occasional argument, says the left-wing opposition. Kröger: “According to the Court of Audit, the subsidy to fossil companies amounts to 4.6 billion euros per year. We also bring that up together.”

According to the current bill, in 2024 all generated solar power can be eliminated for the electricity that will be used later. After a gradual reduction, netting will no longer take place from 2031 onwards. To meet criticism from the House, Jetten wants to include in the law how much money solar energy will generate. Until 2027, this will be 80 percent of the electricity rate (without tax) that the customer pays. There will also be two moments between ’25 and ’31 when it will be examined whether panels will still be earned back within a maximum of seven years – the aim of the law.

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