Kuwait wants owners of solar panels to be able to sell power to the grid

Kuwait is working on a solar feed-in tariff: Owners of solar panels could soon be able to sell unused power back to the national grid under a new framework being drawn up by the Electricity and Water Ministry. Plans for a feed-in tariff would see the government purchase surplus electricity produced from solar panels and feed it back to the grid, Minister Ali Al Mousa said yesterday in statements picked up by Kuwaiti news outlet Al Anba.

The rationale: Feed-in tariffs provide an additional incentive for households and business owners to purchase solar panels or wind turbines by offering them a way to generate income from their investment. The offtaker — usually energy suppliers or governments — offer to purchase units of power at a fixed rate per KWh, helping them to offset existing utility bills and break-even faster.

The aim: Kuwait wants solar panels on 10% of residential, commercial, and government buildings in the initial phase of the program, Al Mousa said yesterday. This would provide around 3% of the country’s electricity needs, save the country 720k barrels of oil every year, and reduce annual carbon emissions by 300k tons, he said.

There’s still a lot we don’t know: The Kuwaiti government is yet to release the details of how the scheme will work, including how the tariffs will be structured, the rates and how long they will last for.

What’s next: The plan is being discussed with regulatory bodies for approval, according to the newspaper.