Solar Incentives in Netherlands

The salderingsregeling allows residential solar panel owners to offset exported electricity against imported electricity at the full retail rate on an annual basis. With Dutch retail electricity prices around €0.33/kWh, this is highly valuable. However, the Dutch parliament has legislated a phase-out: the salderingsregeling will end on December 31, 2027. Starting January 1, 2028, the scheme transitions to the terugleversubsidie — a separate export subsidy paid at a lower avoided-cost rate (estimated €0.04–€0.10/kWh, to be set by regulators). Households with existing solar panels before the phase-out will transition to the new scheme on the same date. This makes 2026–2027 a valuable window for installing solar systems under the favorable full retail-rate net metering terms. Battery storage systems become significantly more important post-2027 to maximize self-consumption rather than exporting at lower rates.

The SDE++ (Stimulering Duurzame Energieproductie en Klimaattransitie) is the Netherlands' main renewable energy production subsidy for larger installations. It works as a feed-in premium: the government pays the difference between a base production price (the 'base amount' covering production costs) and the market electricity price. If market prices are high, the subsidy payment is low or zero; if prices are low, the subsidy compensates. SDE++ applications are submitted in competitive rounds (typically spring and autumn) to RVO (Rijksdienst voor Ondernemend Nederland). Priority and budget allocation depend on the cost-effectiveness per ton of CO₂ reduction. Solar PV competes with other renewable technologies. The scheme is designed for commercial, industrial, and utility-scale projects, not small residential systems. Approved projects receive a subsidy commitment for 15 years from commissioning.

The Energie-Investeringsaftrek (EIA) is a fiscal incentive for Dutch businesses (entrepreneurs, companies) that invest in energy-efficient equipment or renewable energy assets listed on the Energielijst (Energy List) published annually by RVO. Solar PV systems and battery storage are included on the Energielijst. The 45.5% deduction is applied to the investment amount in addition to standard depreciation, effectively reducing the taxable profit by 45.5% of the solar investment cost. At a 25.8% corporate income tax rate (Vpb), this translates to a tax saving of approximately 11.7% of the total investment (45.5% × 25.8%). Applications must be submitted to RVO within 3 months of ordering/signing the contract. The EIA budget is capped annually — early application is advisable. The EIA cannot be combined with the SDE++ for the same system components.

Since January 1, 2023, the supply and installation of solar panels on private homes qualifies for the 0% BTW (belasting over de toegevoegde waarde) rate in the Netherlands. This was introduced to simplify the previously complex BTW refund system for residential solar owners. The zero rate applies to the solar panels themselves and their installation on or near a private home (woningen). On a €10,000 solar installation, this saves €2,100 compared to the standard 21% BTW rate. Note: battery storage systems and inverters may still attract 21% BTW if invoiced separately — a combined solar + battery installation contract should clarify the BTW rates applied to each component. Commercial installations continue to use standard BTW rules (21% charged, 21% reclaimable as input tax by VAT-registered businesses).