Greece shuns net metering

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Greece’s new 5106/2024 law, approved by parliament in late April, closed the net metering scheme, including a program to support rooftop solar-plus-battery systems for households, businesses, and farmers, as well as a separate net metering program for farmers. The government stopped accepting applications for both programs after May 15.

This means that from May 16, Greece’s electricity users can only install PV systems (with or without batteries) that operate without injecting electricity into the grid, with an option to join a net billing scheme when available.

Net metering systems installed or whose owners submitted all necessary documents by May 15th will operate under the net metering policy scheme for the duration of their contracts.

The new law allows very few exceptions, including farmers aiming to install up to 30 kW of capacity, some government departments like local municipalities, and households living in poverty. These categories can still install systems using the net metering scheme.

Greece’s 5106/2024 law marks the second and final blow to the country’s net metering scheme. The first attack occurred in March last year when the government limited net metering to household systems up to 10 kW and commercial systems up to 100 kW. It also abandoned virtual net metering for commercial systems of any capacity.

In its place, the government introduced the 5037/2023 law, allowing businesses to install PV systems operating under net billing. This net billing scheme would apply virtually and without an installation cap, enabling businesses to install as much PV capacity as desired.

However, despite the 5037/2023 law allowing for net billing, the government never introduced a net billing scheme. Thus, while net billing is enshrined in law, there is no policy for investors to follow.

Following last month’s closure of the net metering scheme, Greece’s photovoltaic sector has been pressing the government to introduce a net billing scheme. The government has promised action but has not provided a concrete timeframe.

Currently, Greece’s photovoltaic sector is busy installing the last household and commercial net metering systems whose applications were submitted by May 15th. However, there is concern that installation activity might dry up once these are completed. There is also fear that the upcoming net billing scheme might not appeal to consumers as much as net metering. Some argue the government delays the net billing policy intentionally to slow down photovoltaic installations and address the power curtailment issue that emerged this year.

According to the Hellenic Association of Photovoltaic Companies (Helapco), Greece operated 472.9 MW of net-metered capacity at the end of last year. Of this, 257.1 MW were installed in 2023, marking the largest spike in net metering installations since the scheme launched a decade ago.

Greece’s largest PV project under net metering is a 16 MW system installed last year at Athens International Airport.

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