Adoption Rate of Solar Photovoltaic Systems in Private Residential Estates and Condominiums
Ministry of Trade and IndustrySpeakers
Summary
This question concerns the adoption rate and incentives for solar photovoltaic (PV) systems in private residential estates, as raised by Associate Professor Jamus Jerome Lim. Minister for Trade and Industry Gan Kim Yong noted that installed capacity increased by over 200% to 15.7MWp between 2016 and 2021. He clarified that grants are unnecessary as solar energy is now cheaper than retail electricity, though the Energy Market Authority facilitates adoption through simplified credit schemes for selling excess power. Additionally, the Building and Construction Authority encourages solar usage by recognizing deployment under the Green Mark scheme for buildings. The government remains committed to working with stakeholders to maximize the adoption of solar energy as Singapore’s primary renewable resource.
Transcript
9 Assoc Prof Jamus Jerome Lim asked the Minister for Trade and Industry (a) whether there has been an increase in the adoption rate of solar photovoltaic (PV) systems in private residential estates and condominiums; and (b) whether the Ministry is studying the feasibility of grants or changes to the building code to provide additional incentives for solar PV system usage within private residential estates and condominiums.
Mr Gan Kim Yong: The installed capacity of solar photovoltaic (PV) systems in private residential estates and condominiums has increased by over 200% over the past five years, from 5.2MWp in 2016 to 15.7MWp in Q1 2021.
With technological advances, the cost of solar panels has decreased over time. The cost of solar energy is now generally cheaper than the retail electricity price and regulated tariff1. Hence, the Government does not provide grants or subsidies to further incentivise the adoption of solar energy.
The Energy Market Authority (EMA) seeks to encourage solar deployment by making it easier for solar adopters to sell and receive payments for excess solar electricity back to the grid. For example, EMA’s Simplified Credit Treatment Scheme or Enhanced Central Intermediary Scheme allows consumers to register their solar installations with SP Group and be paid directly through their monthly bill.
In addition, the Building and Construction Authority (BCA) has been encouraging the adoption of solar panels by recognising higher levels of solar deployment under the Green Mark scheme.
Solar energy is the most viable renewable energy in Singapore, and the Government will continue to work with all stakeholders, including residents of private residential estates and condominiums, to maximise solar energy adoption in Singapore.