From Dunam to 200 Kilowatts: New Solar Field Regulations for Agricultural Communities
Overview of New Regulations
In a significant policy shift, the Israeli Planning Administration has issued a legal opinion allowing farmers in agricultural communities to construct solar fields on their land without incurring development levies. This move is expected to eliminate the last barriers to establishing solar facilities in these areas, potentially enabling the production of up to 6 gigawatts (GW) of solar energy nationwide-equivalent to the output of complete power plants.
Financial Implications for Farmers
The legal opinion, provided by the Planning Administration’s legal adviser, Attorney Efrat Brand, stipulates that landowners will be exempt from paying enhancement fees that could exceed 100,000 shekels per dunam. Instead, they will pay an average “alternative enhancement fee” of around 30,000 shekels per dunam to the Israel Land Authority (ILA), which will, in turn, compensate local municipalities for the difference. These new regulations permit each landowner to install solar systems of up to start dunam and a capacity of up to 200 kilowatts on designated areas, known as “Part A,” which includes residential buildings and agricultural structures.
Expected Outcomes and Solar Potential
According to the Ministry of Energy, the new regulations present a substantial opportunity. Ron Aifer, head of the Sustainable Energy Division in the ministry, emphasized that the production of solar energy in “Part A” areas is highly significant. He noted that the previous enhancement fees hindered the widespread implementation of solar systems, making their abolishment pivotal for the feasibility of such projects. With approximately 30,000 families owning “Part A” lands across the country, the cumulative potential for solar energy generation could reach up to 6 GW.
Even if only 5,000 families choose to participate, it could still result in an additional gigawatt of solar power, positioning this energy generation close to demand centers, thus facilitating energy storage integration as needed.
Current Market Comparison
Unlike large commercial solar fields that compete directly with conventional energy producers, these relatively small systems benefit from a fixed rate of 0.37 NIS per kilowatt-hour (kWh) from the Electricity Authority. Although this rate is lower than what small rooftop solar owners receive (between 0.48 and 0.54 NIS per kWh), it remains significantly higher than the 0.07 to 0.20 NIS for large commercial solar farms.
The agricultural sector has expressed support for this initiative, despite past resistance from the Ministry of Agriculture against the establishment of ground-mounted solar facilities that may affect arable lands. The Ministry of Energy is promoting agro-voltaic systems-integrating solar technology with agricultural production-on “Part A” lands, aiming to maintain agricultural outputs while pursuing renewable energy advancements.
Local Authority Role in Implementation
Despite potential pushback from local authorities, the Planning Administration holds the power to override local decisions through the national lstartnsing authority. This was demonstrated recently when a solar field project in the north was expedited despite local delays.
This strategic move signals a robust commitment to renewable energy development within agricultural societies while presenting financial and operational incentives to local landowners.
This initiative reflects a broader trend of transitioning toward renewable energy sources, significantly impacting Israel’s energy landscape and agricultural dynamics.