Are you thinking about solar panels? Then it is good to know that there are a number of ways to make the investment more financially attractive. An overview of the available tax benefits and subsidies for solar panels.
tax benefits
Investments are a good way to reduce the high tax burden. The Energy Investment Allowance (EIA) was created to encourage investment in sustainable energy. Solar panel owners are allowed to deduct 45% of the total investment costs from their taxable profit.
In addition to EIA, the 'normal' Small-scale investment deduction (KIA) are applied. By means of this scheme you can deduct up to a maximum of 28% of your investment in solar panels from your profit.
Netting (until 2023 and beyond)
Holders of solar panels have the option of netting. In addition, the days when more energy is generated with solar panels than consumed, are set off against the days when less is generated than consumed.
Netting is only possible for small consumers. Small consumers have a connection of a maximum of 3x80 Ampere. The aim of a small-scale consumer is therefore to install exactly so many solar panels that he can generate his entire annual consumption himself. Then he no longer needs to purchase energy from the energy supplier.
This arrangement applies until January 1, 2023. Then the scheme is gradually being phased out. Based on current insights, the payback period is expected to remain around 7 years.
SDE+ and SDE++ subsidy
The subsidy for Stimulating Sustainable Energy Production (SDE+) consists of a fee per kWh of electricity generated for a period of 15 years.
SDE+ is only available for large consumers. Large consumers have a connection larger than 3x80 Ampere. The goal of a large consumer is to install as many solar panels as possible. After all, he earns three times money: subsidy per kWh generated; falling energy costs; and income from generated energy that is not consumed, but can be sold to the grid for a fee.
In 2020, the SDE+ subsidy will change, or rather broaden. From 1 January 2020, in addition to renewable energy, CO2-reducing techniques will also receive a subsidy (SDE++).
Subsidy for young farmers
The government wants to encourage and support young farmers under the age of 41, so that they can respond better to market developments and the wishes of society. That is why there is the Young Farmers subsidy. For example, a young farmer can receive a subsidy of up to 20.000 euros for an investment in solar panels.
How do you apply for a subsidy?
Grant applications go through the Netherlands Enterprise Agency (Rijksdienst voor Ondernemend Nederland).RVO† Farmers can apply for subsidies for solar panels here. Many farmers are happy to outsource this. Energy Shift from Barneveld is a professional and experienced solar panel installer and also has all the knowledge in-house about applying for and handling subsidies. The company provides subsidy applications in the name of the farmer free of charge and without obligation. This means that subsidies are paid directly into the farmer's account, without the intervention of a third party.
Payback period
Purchasing solar panels is an investment, but once connected, the owner has to purchase much less (or no) electricity from his energy supplier. Energy costs are therefore immediately reduced significantly. Large consumers also supply energy back and receive a subsidy for every kWh generated. Both small and large consumers earn their investment back on average in 6 to 7 years.
After those 6 to 7 years, the panels will continue to generate free electricity for many years to come and an SDE+ subsidy will continue for years to come. For example, solar panels are not only good for the environment, but farmers can earn a lot of money with solar panels.
> Watch an interesting calculation example about making money with solar panels.
> Read also: Sustainable dairy farms perform better
High demands are made on solar panels on a farm. Due to circumstances such as dust, sand, moisture and ammonia, solar panel installations have to endure more. Energy Shift therefore offers farmers quality solar panels with a high yield guarantee, whereby all the work is taken off their hands.
Read whole article on tax benefits and subsidies.