EU rules preventing farmers from selling excess electricity produced by grant-aided solar panels into the national grid need to be changed to better incentivise farmers to install solar panels and reduce dependence on imported fossil fuels, MEP Sean Kelly has argued.

Under current EU state aid rules, farmers who install solar panels and avail of the Targeted Agriculture Modernisation Scheme (TAMS) cannot sell any energy generated beyond the farm’s need into the national grid for payments.

A change to these rules was called for by Kelly, who argued that doing so would enable segments of the green energy generation sector that are currently underutilised to fulfil their potential, generating more green energy.

Under the CAP, TAMS-funded solar-generated power can only be for own-farm use

"Solar PV panels, solar PV rechargeable batteries and solar panels are currently included in the grant aid schemes under TAMs,” Kelly said.

“However, the problem at the moment is that under the CAP, TAMS-funded solar-generated power can only be for own-farm use.

“We still have an abundance of untapped potential energy generation in Ireland, we have to look no further than unused rooftops on farmlands, which are primed to create solar energy.

“This makes little sense in my view. Solar is a clean source of energy, but under the current arrangements, we basically have little incentive for farmers to utilise all their potential,” the Ireland South MEP explained.

Diversification benefits

Kelly went on to say that increasing the energy produced in such a manner has numerous economic and environmental benefits, including for farmers.

“The small-scale generation of energy by farmers has several benefits; it provides a means of increasing income streams, reduces overall carbon impact of farms, increases renewables mix in the energy mix and reduces impacts of rising energy costs for farmers,” he said.

“These are wins all round and EU legislation must ensure it facilitates this,” the MEP claimed.

Farmers ready to step up

Kelly concluded his remarks by reiterating farming’s commitment to bettering environmental credentials.

"As lead negotiator for the EPP on the previous version of the Renewable Energy Directive (RED II), I championed renewable energy communities (RECs) and microgeneration.

“Farmers have long showed their willingness to play their part in decarbonising our energy system, so let's make sure they can,” he concluded.

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