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Trade associations celebrate big wins for solar under EU’s revised Renewable Energy Directive

The Solar Trade Association (STA) and Solar Power Europe are celebrating big wins for solar under the EU’s revised Renewable Energy Directive which will come into effect in 18 months’ time.
Trade associations celebrate big wins for solar under EU’s revised Renewable Energy Directive

The new measures include the recognition of the role and rights of prosumers, local Government and community energy; the potential to run technology-specific tenders for large-scale solar and simplified and less costly red tape for installing solar power. Surplus solar power could also be sold via aggregators, Power Purchase Agreements and peer-to-peer trading, receiving, at least, the market price. The revised directive could also protect solar from retrospective charges and set exemptions on fees for charges for self-consumed solar up to 25kW that remains within the premises.

“The European Union understands how vital it is to empower everyday people and organisations to invest in solar power” said STA CEO Chris Hewett. “The measures the EU will put into law in 18 months time should give much needed confidence to the UK solar & storage industries that the playing field between small investors and the traditional industry is starting to level. We urge the UK Government to follow suit and provide a level playing field for diverse investors in solar power as soon as possible.”

James Watson, CEO of Solar Power Europe, added that the deal is a good one for solar and that the target is much more ambitious that was expected a few months ago. Householders will now have the right to self- generate, consume and store the energy they produce, which Solar Power Europe believes is a major achievement.

The EU breakthrough comes as the UK solar industry struggles under a cloud of uncertainty, having waited over a year for the long-promised new policy framework for when the FIT closes next March. Energy Minister Claire Perry could not confirm that the call for evidence would be published before the summer recess when she was questioned by MPs in the Commons on Tuesday, leaving the industry in the dark. 

However, the new EU measures should give some comfort to the industry that fair remuneration for exported surplus solar will be safeguarded, with the potential for communities to trade their solar power. The proposals also open the possibility of solar-specific clean power auctions, which the solar industry has been shut out of for 3 years in the UK.

The agreement text needs to be informally agreed by the EU Council and EU Parliament later this month and EU countries are expected to bring the law into force by 1 January 2021. The UK is expected to comply with EU laws until the end of 2021, under the Brexit transition arrangements.

For additional information:

Solar Trade Association (STA)

Solar Power Europe

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