Specific Details
Solar Energy and the Agriculture Industry
Intended results
- Targeted Agriculture Modernisation Schemes (TAMS)
The Government must honour commitment to increase grant aid to 60% for solar projects under TAMS. Additional funding for solar projects must be allocated(in addition to the proposed TAMS/On Farm Capital Investment Scheme budget). This additional money must be ring-fenced and the cap restrictions eased, similar to the Low Emission Slurry Spreading Scheme, to support adoption. I addition, the size restriction(maximum size of PV panels eligible for grant aid is 11kw) should be removed and should be
- Introduce a new small-scale solar generation scheme for farms
A new small-scale solar generation scheme should be introduced for farmers to support the deployment of solar PV on farms. There are significant limitations under the TAMS, specifically that the (i) energy generated on farm cannot be used in the home and (ii) it does not permit the surplus energy to be exported the grid.
This is leading to energy inefficiency and is restricting the financial viability of many solar projects on farms and should be replaced with a dedicated small-scale solar generation scheme funded via SEAI.
- Microgeneration Support Scheme ( MSS)
The MSS target is to support the installation of 380MW micro-generation capacity. IFA seeks that the measures to support the deployment of solar for larger non-domestic sites (6kW to 50kW) which set a payment per KWh for 15 years (Clean Export Premium) starting at 13.5 cents/kWh is implemented in Q3 2022 as set out in the scheme. Under the scheme domestic residences and farm buildings should be linked using private wire systems so they can share electricity produced.
- Renewable Electricity Support Scheme (RESS)
The terms of the RESS should be amended to allow groups of farmers to bid in and receive support as a combined community project to increase participation of farm scale projects.
- Capital Gains Tax (CGT) Capital Acquisitions Tax (CAT) Reliefs - Solar Leases
The amendment of Section 34 in the 2017 Finance Act extended the definition of assets that can benefit from CGT Retirement Relief and CAT Agricultural Relief to include leased land on which solar panels have been installed. Under the Act land being disposed of, still benefits from the aforementioned reliefs, provided the area of land on which solar panels are installed does not exceed 50% of the total area of land concerned.
The calculations used to determine the area of land on which solar panels are installed, should only include the footprint of the structures mounting solar panels, ancillary equipment and service roadways (i.e., areas not capable of being grazed) and should exclude any area capable of being grazed by agricultural livestock either under, around or in between panels, ancillary equipment and roadways.
The ambiguity particularly impacts smaller holdings, and can/will impact on subsequent inheritance of the farm unless clarified.
- VAT Exemption
VAT rates for solar panels and other solar equipment currently range from 13.5% to 23%. This increases the overall cost of solar equipment. All solar equipment should be exempted from VAT to support deployment of solar on farms.
- Net Metering
Now that Smart Metering is being roll out nationally this should enable farms that produce excess energy produced from solar installations to export to the grid (outside of the MSS and RESS schemes) to receive remuneration from their electricity supplier for any excess energy exported. This would deliver a realistic payback period on more solar installations and encourage more farmers to install solar on farms.
- Low-Cost Grid Access
A major challenge to adoption of solar energy is the grid connection process, which continues to be a deterrent to the delivery of on-farm renewable projects. Small scale projects must be able to access the grid through a simplified transparent process, with reduced costs and a grid connection timescale to improve the success rate of projects.
- Implement Planning Permission Exemptions for Rooftop Solar Panels
The proposed revisions to the existing planning exemptions for the installation of solar panels on the roofs of houses and certain non-domestic buildings.
- One Stop Shop to Provide Independent and accredited advice to Farmers on Solar
A One Stop Shop service should be developed to simplify the pathway and support farmers considering installing solar on their farm. The service should provide independent and accredited advice to support their decision to install solar.
Barry Cassidy
Special Adviser (Department of Agriculture, Food and the Marine)
Barry Delany
Director (Department of Agriculture, Food and the Marine)
Bill Callanan
Chief Inspector (Department of Agriculture, Food and the Marine)
Brendan Gleeson
Secretary General (Department of Agriculture, Food and the Marine)
Caroline Murphy
Special Adviser (Department of Agriculture, Food and the Marine)
Cecil Beamish
Assistant Secretary (Department of Agriculture, Food and the Marine)
Charlie McConalogue
Minister (Department of Agriculture, Food and the Marine)
Colm Hayes
Assistant Secretary (Department of Agriculture, Food and the Marine)
Darran Brennan
Special Adviser (Department of Agriculture, Food and the Marine)
Declan O'Rourke
Special Adviser (Department of Agriculture, Food and the Marine)
Donal Sammin
Assistant Secretary (Department of Agriculture, Food and the Marine)
Eilis O'Connell
Assistant Secretary (Department of Agriculture, Food and the Marine)
Jack O'Donnell
Special Adviser (Department of Agriculture, Food and the Marine)
James Choiseul
Head of Agricultural Laboratories (Department of Agriculture, Food and the Marine)
Kevin Smyth
Assistant Secretary (Department of Agriculture, Food and the Marine)
Louise Byrne
Deputy Chief Inspector (Department of Agriculture, Food and the Marine)
Louise McKeever
Assistant Secretary (Department of Agriculture, Food and the Marine)
Martin Blake
Chief Veterinary Officer (Department of Agriculture, Food and the Marine)
Martin Heydon
Minister of State (Department of Agriculture, Food and the Marine)
Michael Sheahan
Director of Operations (Department of Agriculture, Food and the Marine)
Patricia Reilly
Deputy Chief Veterinary Officer (Department of Agriculture, Food and the Marine)
Patrick Donohoe
Special Adviser (Department of Agriculture, Food and the Marine)
Paul Dillon
Assistant Secretary (Department of Agriculture, Food and the Marine)
Paul Savage
Assistant Secretary (Department of Agriculture, Food and the Marine)
Pippa Hackett
Super Junior Minister (Department of Agriculture, Food and the Marine)
Rob Doyle
Director (Department of Agriculture, Food and the Marine)
Sinead McPhillips
Assistant Secretary (Department of Agriculture, Food and the Marine)
Eamon Ryan
Minister (Department of Environment, Climate and Communications)