Movement in surplus electricity prices for microgeneration by some energy companies has been welcomed by the Mirco-Renewable Energy Federation (MREF).
According to the group, a number of energy companies will pay 14c/kWh (kilowatt hour) for surplus energy generated.
Speaking this morning, Pat Smith, the chairperson of the MREF, said that the development is “a transformative move” for micro-generation of renewable power in Ireland.
“Thousands of homes and small businesses with micro-generation can now get a regular payment from their energy provider for the surplus renewable electricity that they are generating on their own premises.
“Anyone with a micro-generation system installed should immediately contact their utility provider to ensure they get paid for the surplus power they are generating,” Smith highlighted.
However, he argued that the payments being currently offered by utility providers need to better match and track actual market prices.
According to the MREF chair, businesses are being quoted “an exceptionally high rate” of 50c/kWh or more for two-year fixed term contracts for electricity.
“14c/kWh for microgeneration is nowhere near enough compared to the prices these same utility companies are demanding for the energy they are selling to their customers.”
Smith called on the Commission for the Regulation of Utilities (CRU) to ensure that prices paid for surplus power through microgeneration were closer to market prices.
As well as that, he argued for ESB Networks to prioritise the installation of ‘smart meters’ for microgeneration so that surplus power exported to the national grid can be accurately calculated.
“An immediate solution needs to be found for homes, farms and small businesses that are connected to grid via a three-phase connection and who are being told by ESB Networks that they have no plans to install a smart meter on their premises,” Smith added.
“This is totally unacceptable and needs to be addressed urgently.
“The CRU and ESB Networks must ensure that everyone with a microgeneration installation – whether on a single or three-phase supply – should have a smart meter installed as a priority to ensure that they get paid for all surplus power exported to the grid,” he stressed.