Micro-generation

Complete Guide to Micro-generation and the Micro-generation Support Scheme (MSS)

Introduction to Micro-generation

Micro-generation is the small-scale generation of electricity from renewable sources by households or small businesses. This sustainable approach involves installing a compact generator powered by renewable sources, including solar panels, micro-wind turbines, micro-hydro systems, and micro-renewable combined heat and power (CHP) units. The generated electricity can either be stored in batteries for personal use or sold back to the grid through your electricity provider.

Micro-generation Support Scheme (MSS)

Overview

The Micro-generation Support Scheme (MSS) empowers homes, businesses, farms, and community buildings to sell excess electricity produced through renewable sources, such as solar panels, back to the grid. This initiative introduces a Clean Export Guarantee (CEG), providing payments to individuals and entities exporting surplus renewable energy, irrespective of their energy provider.

Eligibility

The MSS is open to both domestic (homes) and non-domestic sites (farms, businesses, community buildings). To qualify as a domestic applicant, your home must:

  • Have solar panels (with a grant available for installation).
  • Have been built before 2021.
  • Possess a Meter Point Registration Number (MPRN) from the Meter Registration System Operator (MRSO).
  • Be registered with an electricity supplier.
  • Generate less than 6kW of electricity.

There are no minimum Building Energy Rating (BER) requirements for qualification.

How It Works

  1. Apply for a Solar PV Grant: If you don’t have solar panels, apply for a grant from the Sustainable Energy Authority of Ireland (SEAI).
  2. Notify ESB Networks: Inform ESB Networks about your intention to install solar panels using the NC6 form (pdf).
  3. Installation and Connection: Once your chosen contractor installs and connects the solar panels, they will start generating electricity, reducing your electricity bills.
  4. Exporting Excess Electricity: When the generated electricity exceeds your consumption, you can sell the excess back to the grid through your electricity supplier.
  5. Metering: If you have a smart meter, it measures exported electricity. Otherwise, payment is based on a deemed volume assumption set by the Commission for Regulation of Utilities (CRU).

Financial Incentives

Payment Rates

The amount you receive for excess electricity depends on:

  • The amount generated.
  • The rate set by your electricity supplier.

For domestic sites generating up to 5.9kW, a competitive market rate is applicable. Non-domestic sites generating between 6.0kW and 50kW qualify for the Clean Export Premium, a fixed rate.

Tax Exemptions

From January 1, 2024, to December 31, 2025, individuals selling excess electricity to the national grid are eligible for a tax exemption of €400 per year. This marks an increase from the previous exemption of €200 per year.