March 2013

Grid parity for solar electricity

The Netherlands is among the first countries in Europe where consumers pay the same price for solar electricity and conventional electricity. This statement was made by ECN’s Wim Sinke in an interview broadcasted by NOS Radio, in response to a European study.

The main reason for this leading position of the Netherlands is that several years ago our country introduced a beneficial scheme that allows consumers to supply their excess solar electricity back to the energy company. This is then deducted from the electricity bill. Another factor that plays a role is the fact that the price of ‘conventional’ electricity has risen and that the price of solar panels is decreasing.

The attractive price of solar electricity becomes evident from the number of solar power installations that were installed in the Netherlands in 2012. This number equals the total number of installations of the previous 20 years! In a few years’ time, grid parity (equal price for solar electricity and conventional electricity) will also become a reality for businesses, predicts Wim Sinke.