Naoise Ó Muirí (Dublin Bay North, Fine Gael)
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10. To ask the Minister for Environment, Community and Local Government if his Department has considered providing additional monetary incentives for households availing of the micro-generation support scheme; and if he will make a statement on the matter. [52278/25]

Darragh O'Brien (Dublin Fingal East, Fianna Fail)
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The Government approved the high-level design for the Micro-Generation Support Scheme (MSS) on the 21 December 2021 as a means of supporting 380MW of new micro-generation capacity by 2030 under the Climate Action Plan.

As part of the approved MSS Final Scheme Design, the maximum grant levels for domestic applicants were set out for the period from 2022 to 2028. In 2022 and 2023, the maximum grant levels were set at €2,400. Thereafter, the maximum grant would be reduced by a maximum of €300 per annum, until 2028. These grant levels were based on an assessment of the viability gap for investing in solar PV systems, as well as a recognition that solar PV installation costs were expected to reduce over time and to achieving a target of 380 MW of installed capacity by 2030.

Since its launch in 2022, the Domestic Solar PV grant scheme has gone from strength to strength with over 10,000 applicants supported in 2022 at a cost of over €24.4 million. 2023 proved even more successful, with domestic solar installation further supported by the Government decision to apply a zero percent VAT rate for the ‘supply and installation of solar panels on domestic premises’ from 1 May. The scheme was allocated €29.4m in Budget 2023 which was projected to support an installed capacity of 55.6MW in 12,500 homes. By the end of 2023, 22,214 homes had received grant support, to a total value of €52.2m.

In 2024, while the maximum grant was reduced to €2,100, over 28,000 homes received grant support to the value of €62.2m. In 2025, the grant was reduced to €1,800 and, so far, applications have increased over 2024 levels. Installations for 2025 are expected to exceed 33,000 by the year end.

This high level of demand indicates that the scheme is working well and that not only have citizens recognised the significant benefits of investing in Solar PV, but that the Solar PV industry and supply chain have adapted to the demands of our citizens. The scheme will be kept under review to ensure it is operating effectively and making the best use of Exchequer funding, in order to support Ireland’s significant updated Climate Action Plan target of 1.6 GW of Microgeneration by 2030.