Israel to Reduce Tariffs for New Rooftop Solar Installations
Translated & summarized from NEWSru Israel by baba
Israel's Electricity Authority is proposing new, lower tariffs for rooftop solar installations starting in 2027, while protecting existing ones. The changes aim to reduce subsidies due to falling panel costs and a stronger shekel. Tariffs for homes will decrease annually, and guaranteed periods will shorten. Larger installations will face new approval processes and reduced incentives for storage systems.
The story in 6 lines · by baba
- New rooftop solar installations in Israel will face reduced tariffs starting in 2027.
- Existing solar installations will retain their current high tariffs for 25 years.
- Tariffs for installations up to 15 kW will decrease by approximately 20% between 2027 and 2030.
- Guaranteed tariff periods for new installations will be reduced from 25 to 20 years.
- Medium-sized installations will have options between guaranteed tariffs and market-based contracts.
- Automatic approval for grid connections for installations over 15 kW will be discontinued from 2028.
Israel's Electricity Authority has released a draft decision to implement a new payment system for electricity generated by rooftop solar installations. These changes will only affect new installations established from 2027 onwards, while owners of existing systems will retain their current high tariffs for the next 25 years. The Authority intends to reduce the current subsidy for solar energy, which accounts for about 10% of electricity bills, citing the significant decrease in the cost of solar panels and the strengthening of the shekel against the dollar.
Under the proposed plan, tariffs for installations up to 15 kW, typical for private homes, will decrease annually by 5% between 2027 and 2030, resulting in an approximate 20% overall reduction. This reduction will also be adjusted based on half the change in the shekel-to-dollar exchange rate relative to a baseline of 3.5 shekels per dollar. If the exchange rate hovers around 3.1 shekels, the tariff for 2027 installations would be approximately 43 agorot, dropping to 35.5 agorot by 2030. The guaranteed tariff period will also be shortened from 25 to 20 years, with the latest possible end date for receiving it being 2047.
For medium-sized installations up to 100 kW, such as those on schools or small commercial centers, owners will have the option to choose between the guaranteed tariff or a direct contract with a private electricity supplier at a market price, supplemented by a state subsidy that will decrease over time. For instance, in 2028, they could opt for a guaranteed tariff of about 33 agorot per kWh or a private supplier contract with a subsidy of around 15 agorot.
Starting in 2028, applications for grid connection for installations over 15 kW will no longer be automatically approved. Priority will be given to those who voluntarily agree to forgo a larger portion of the subsidy. The draft also proposes the cancellation of current incentives for energy storage systems, which the Authority attributes to falling costs and the emergence of more efficient alternatives. Public comments on the draft are being accepted until November 10.
The same event, reported separately by each outlet. Open a few to compare what different newsrooms emphasize — and what they leave out.
Other 2
Not the same event — other stories that share this one’s people, places, or theme: background, reactions, and follow-ups.
