Microgeneration Support Scheme (MSS)

Microgeneration Support Scheme (MSS)

We’d like to offer a further few clarifications on the Microgeneration Support Scheme (MSS) which has been introduced in Ireland and replaces all other grant schemes which have previously operated in relation to solar energy to date.

There is some confusion among the interested Irish public in relation to grant-supports for solar energy and/or microgeneration.

This is discouraging people from investing in solar energy at a time when they should be giving it serious consideration.

SEAI Installation Grant with CEG (Clean Export Guarantee)

If you avail of the SEAI Installation Grant the maximum available for your solar PV project is €2,400 and thereafter you are limited to availing of the Clean Export Guarantee (CEG) along with the tiny €200 per annum tax-break for individuals who are feeding electricity into the national grid.

Various utility companies have recently set their levels for the Clean Export Guarantee (CEG), HOWEVER the CAVEAT is that their nominal prices have increased approx. 300% in the last 12 months rendering the CEG offered as insufficient.

On a pro-rata basis, using pricing from the pilot program as a baseline figure, the current CEG should be around 27 c/kWh

Clean Export Guarantee (CEG) Pricing at October 2022CEG Rate (c/kWh)Approx. % Renewables
Bord Gais18.531%
Electric Ireland1464%
SSE14100%
Feed-in tariffs from the pilot program were 9 c/kWh, with x 300% price inflation applied27
Clean Export Guarantee (CEG) Feed-in Tariff Rates – October 2022

Although the SEAI Installation Grant is available for schools and sports clubs and community organisations, they might consider whether other incentives along with the premium feed-in tariff (CEP) might be of more financial benefit.

Other supports with CEP (Clean Export Premium)

If you wish to avail of the premium feed-in tariff (CEP) you cannot have first availed of the SEAI Installation Grant.

Likewise, if you wish to avail of the premium feed-in tariff (CEP) you cannot be classed as a ‘domestic’ customer – with the exception of farms.

If you wish to avail of the premium feed-in tariff (CEP) you must be classed as a commercial business, or a sports club, or a community organisation, or a school, or a farm.

While you may not want to avail of the premium feed-in tariffs (CEP), bear in mind that whichever utility company you choose for the Clean Export Guarantee (CEG) you are also obliged to pay their rates for any electricity consumed.

MSS Potential

The Microgeneration Support Scheme (MSS) had great potential to effect a change in Ireland’s response to the climate crisis.

However, as the system has been implemented it has the immediate effect of confusing and discouraging people from engaging with supports being offered.

In addition, the principle goal of the MSS seems to limit homeowners or domestic customers from installing sufficient solar PV to adequately meet their future energy needs.

Not alone is the price of your electricity increasing, your consumption of electricity is also going to increase dramatically in the coming years. See our previous article on this topic.

General Misinformation in the Market

Furthermore, given the widespread effects of the current energy crisis, we suggest there is a lot of misinformation surrounding this crisis, and in particular how it impacts on electricity pricing.

There is a complex mechanism to price electricity which we will review at another time.

What is clear to us, as shown in the graph (below), is that the price of electricity bears almost no direct correlation with the price of natural gas.

EU Natural Gas Prices 2022
EU Natural Gas Prices to October 2022 – source: tradingeconomics.com

The best way to fix your future energy costs, and extricate your home or business from the effects of this current energy crisis is to install a solar PV system. The more you install now the better the long-term outcome for your future energy needs.

Returns on a solar PV system, which has been correctly designed and installed, are usually a multiple of the initial investment.

Contact Us today to discuss your solar PV requirements.

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