Israel Proposes 5% Yearly Cuts to Rooftop Solar Tariffs From 2027

Oct 21, 2026 07:01 AM ET
  • Israel's Electricity Authority proposed 5% yearly cuts through 2030 to tariffs for new rooftop and other low-voltage solar systems.
  • Home systems up to 15 kW would fall from a 48-agorot base to 36.77 agorot per kWh by 2030, the draft shows.
  • The draft is open for public comment; if adopted, it covers connection requests filed from Jan. 1, 2027.
Israel Proposes 5% Yearly Cuts to Rooftop Solar Tariffs From 2027

Israel's Electricity Authority has proposed cutting guaranteed payments for new rooftop solar by 5% a year through 2030, in a draft decision published Oct. 19. The draft, open for public comment, would apply only to connection requests filed from Jan. 1, 2027.

For home systems up to 15 kW, the draft starts from a base of 48 agorot (15.4 U.S. cents) per kWh. The regulator's illustrative table puts that rate at 45.44 agorot in the first half of 2027 and 36.77 agorot (11.8 cents) in 2030. Dollar figures are list.solar calculations at the Bank of Israel's Oct. 19 rate of NIS 3.11.

The 2027 cut is split across two half-years. Forty percent of the tariff would track the dollar and the euro, reflecting imported equipment costs. The authority puts the scheme's extra cost over the system tariff at NIS 150 million to NIS 180 million ($48 million to $58 million) a year.

About 2,323 MW of systems are connected under the current low-voltage scheme. Renewables met 16.7% of Israel's power consumption in 2025, Electricity Authority data show.

The draft in numbers

  • 36.84 agorot (11.8 cents) per kWh, the blended rate for a 100-kW system in the first half of 2027, falling to 29.81 agorot in 2030.
  • 23.4% lower: the 2030 rate for a 15-kW home system against the 48-agorot base (list.solar calculation).
  • 630 kW maximum size for a tariff or premium in 2027, cut by 110 kW a year to 300 kW in 2030.
  • 0% to 50%: the discount off the tariff, in 10-point steps, that applicants would state where the scheme asks for one.
  • 496 MW of the connected capacity sits in systems of 15 kW or less.
  • 1,346 MW of renewables connected in Israel in 2025, the most in any year, the authority's annual tables show.

Owners could also sell output to private suppliers for a regulated premium instead of the fixed tariff. If adopted, the solar tariff changes would take effect Jan. 1, 2027, and cover connection requests filed through Dec. 31, 2030.