RES Possibilities: Photovoltaics for balconies can meet up to 30% of a household's annual consumption

Author: Maria Manolova, part of the Climateka author team

This article examines the production of energy from the sun and the importance for small, mostly domestic consumers. In addition, we briefly recall the principle of producing energy from the sun, how it can be obtained in homes, whether concrete steps can be found in the recently adopted legislative acts to ease the installation process of such systems and what are the possibilities for local administrations to support its citizens. In Bulgaria, the first balcony photovoltaics (Plug-in PV) have already been installed, with the support of the local authorities in Dupnitsa and Botevgrad, which can cover up to 30% of the annual household energy consumption.

Briefly about the production of electricity from the sun

A solar photovoltaic (PV) system works by converting sunlight into electricity using solar panels on your roof, facade, balcony or adjoining yard. When sunlight hits the panels, all the electrons get excited, move around and this movement creates electricity in the form of direct current. The electricity our homes use is a little different – ​​it's called alternating current. This is where the inverter works. This device takes the DC electricity from the solar panels and converts it into AC electricity that powers devices at home, from the fridge to the TV. The technological development of inverters is becoming more and more serious, and thanks to this, many of them already have monitoring systems, limiters and others that monitor how much energy is produced, used and even have the ability to automatically limit it. The latter turns out to be extremely important for users who are also active customers, i.e., whose systems are networked rather than autonomous. Their energy systems are connected to the grid and it is the main source of energy. When consumers have operating devices to generate their own renewable energy (RE), and consumption is less than production, the difference from more energy produced is fed back into the grid.

How is excess energy accounted for?

In a large part of the countries in Western Europe (Denmark, Spain, Italy, the Netherlands, Slovakia, Poland, etc.) and the USA, net metering has been introduced, in which a deduction is made of the amount of energy returned to the network from the consumed energy at a certain period of time from the grid energy. In this way, the active customer reduces his energy costs.

In the USA, for example, there is a special Public Utility Regulatory Policies Act (PURPA), which regulates the participation in the energy market of individual facilities producing energy from renewable energy or generating thermal energy and steam. The law mandates local utilities to purchase energy from small individual consumers in an effort to promote competition, efficiency in energy generation and delivery, and to achieve other policy goals, such as increasing energy independence and reducing utility costs. One of the ways the act achieves its goals is by creating a specific class of power generation facilities (qualifying facilities – QFs) that receive a special rate for selling their power to the local power company. In Michigan, for example, energy companies have an obligation to purchase energy produced by similar facilities with an installed capacity of less than 20 MW and compensate them based on the costs that would have been avoided by building their own similar capacity.

What is the situation in our country?

In Bulgaria, the lack of net metering can directly limit the use of small decentralized systems for the production of energy from renewable sources. This is because the multiple meters count the own energy produced, but not the excess (unused) that is fed back into the grid as consumption. Small decentralized capacities are extremely suitable in realizing efficiency by using energy where it is needed. Power up to 800 W is insignificant for connection, both to the household network and to the network of the operator (according to Art. 5 of REGULATION (EU) 2016/631 Network Code on the requirements for the connection of electricity producers to the electricity network).

This in turn encourages the use of small solar energy production systems, also known as balcony micro-installations (Plug-in PV).

Legislation in our country does not yet suggest any relief for the sale of excess energy, especially for small RES producers who produce electricity for their own needs, but do not know what to do with the excess. Donating energy to the grid is also not regulated. It is possible to purchase energy storage systems, but the investment is high and the profitability is questionable. There is currently no legal definition of "net reporting" in Bulgaria. At the same time, in the Law on Energy from Renewable Sources (ZEVI), the user of own electricity from renewable sources is granted equality in the electricity market. The same has the right to sell the excess amounts of electricity produced by it on the market and for payment at market prices, as well as under support schemes for the electricity produced and sold from renewable sources.

There are also cases in which the existing situation implies the opposite practice - penalties are charged or prohibitions are imposed on the return of energy to the network.

In one of the recently opened grant funding programs (up to BGN 15,000) for the promotion of RES in homes under the Recovery and Sustainability Plan, an important condition was set - the produced electricity cannot be fed into the grid, but must be used only for own needs. This implies a very precise analysis and good energy management, since the majority of the applications are for the maximum allowed installed power under the program (10 MW), but there is nowhere to direct the excess.

At the same time, the procedures for the construction of large-scale photovoltaic plants are facilitated by a change with the entry into force of a detailed development plan, which envisages such plants with an argument for achieving the national target for RES, which affects properties with a permanent use of fields, meadows, pastures and measures - municipal and state property, according to the Law on the Protection of Agricultural Lands.

It is necessary to create eased conditions for small and micro systems as well, such as balcony photovoltaics, for example, where obstacles to the sale of excess energy are removed,

including the donation of excess energy up to 800 W, according to REGULATION (EU) 2016/631. This can significantly increase the financial incentive for active users to install RES capacities and will accelerate the decentralization of electricity production.

This regulation of the European Union is directly applicable to Bulgaria as a member country, but in our country, there are no simplified procedures for such micro-installations. The procedure is simplified (it is described in more detail here) only for photovoltaic systems up to 20 kW, installed on single-family houses or villa properties, only for energy for own needs, for which no construction permit is required, according to Art. 151, para. 10 of the Law on Territorial Planning (ZUT). For installations for the production of energy from renewable energy sources with an installed electrical capacity of up to 10.8 kW inclusive, according to the provisions of the Energy Act, a simplified procedure for connection is provided, in which the term for connection is up to 30 days after the issuance of the opinion by the network operator. In the case of multi-family residential buildings, the consent of more than half of the condominium owners is also required.

Small decentralized solutions for households

Balcony Plug-in PV systems could not fully satisfy the consumption of a household, but can satisfy up to 30% of the annual consumption. However, they provide the rare opportunity for household users to produce and consume some of their own energy. This can inevitably have a positive impact on the long-established public attitude towards RES installations in general. These systems are also suitable in the process of reducing household energy poverty.

These are the photovoltaics for balconies, with a plug for inclusion in a socket (Plug-in PV), with a nominal power of up to 800 W. So far, they are not so popular in Bulgaria, but they are used in households in Western Europe.

Over 1 million solar balcony devices have already been installed in Germany,

in many places the provinces provide a subsidy of 150 euros, and in Berlin it reaches 500 euros. These photovoltaics have a low cost, but a high potential for informing citizens about the possibilities of using solar energy and motivating them to control their electricity consumption and bills.

The Plug-in PV solar module generates electricity from sunlight, which an inverter converts into "household electricity". It connects directly to the existing electrical network in the home, by plugging the plug into the outlet. The installation is not complicated, but must be done with attention to the installation and the requirements of the electrical networks. In Germany, where they are most widespread, installation is not even required to be done by a qualified specialist.

At the end of the month of July this year Habitat Bulgaria conducted demonstration trainings for the installation and use of photovoltaic micro-installations for balconies aimed at various stakeholders, including civil and non-governmental organizations and citizens in the municipalities of Dupnitsa and Botevgrad. During the training, two balcony photovoltaic systems were installed for households living in energy poverty, respectively in the "Social Housing" complex in Dupnitsa (Fig. 2 and 3) and a municipal housing in Botevgrad.

As part of the Sunrise project, a total of 12 Plug-in photovoltaic systems are planned to be installed on the balconies of households from Dupnitsa and Botevgrad. Subsequently, the electricity costs of each of the households will be tracked and this will give a better analysis of their needs, which with optimization can receive a more serious benefit (and especially in combination with the appropriate energy efficiency measures). The main objective is to demonstrate the possibility of producing energy from the sun and thereby reducing electricity bills.

An additional benefit is that the project provides a good opportunity to explore the possible reliefs that the municipality can provide within the framework of small-scale renewable energy projects to local residents.

What is the role of local authorities?

Local authorities have always had a key role in the energy management of their territory. In recent years, their powers in this direction have become increasingly significant and comprehensive. In particular, in the area of ​​an ongoing energy transformation, local governments, under the Renewable Energy Act (REAG), have the opportunity to offer relief and make the procedures for installing renewable energy production systems more accessible to local citizens. Such reliefs are currently unknown as the possible powers are not specifically described in the legislation. However, attempts by local authorities to support active citizens and set an example are present in Dupnitsa and Botevgrad, with balcony photovoltaics, as described above.

There are a number of texts in the ZEVI (Article 10) which are related to the statutory obligations of the local authorities, in cooperation with the central authorities, to simplify and ease the administrative procedures regarding small decentralized installations for the production of energy from renewable energy sources. Even more, it is recorded that the mayor of the municipality, when necessary, makes proposals to the Municipal Council for the simplification and easing of these procedures. The mayor is also the main mediator (connecting person) between the proposals for simplification of the same procedures by the respective regional governor and their presentation as priority to the Municipal Council. Among the main obligations of the bodies of state power and local self-government bodies when exercising their powers to regulate permitting, certification and licensing procedures to achieve the goals of ZEVI, the following three stand out:

1. To envisage and implement simplified procedures for obtaining permits for projects related to the implementation of individual systems for the production and consumption of electrical energy, thermal energy and energy for cooling from renewable sources;

2. to provide for accelerated procedures for pronouncements in connection with the planning, design and construction of electricity network infrastructure;

3. to provide information about the necessary procedures and their sequence, including the applicable deadlines and the necessary documents.

Thus, the law, with its latest amendments, gives local governments the right to participate in the most active and direct way in the management and planning of not only their own energy resources, but also those of local citizens.

There is still a lack of relevant by-law frameworks to describe step-by-step procedures, with specific deadlines, and to establish the powers of individual institutions related to the simplification and easing of procedures.

This directly affects both active customers and producers of their own energy from RE, and in full force represents an obstacle in the event that they wish to sell excess energy or participate in an energy community. At the same time, there are no provisions covering the principles of:

The need for clear instructions on how far the powers of local authorities go in simplifying procedures (for example, for balcony photovoltaics, some components of the design solutions in parts "Constructions", "Electrical" and "HVAC" with drawings may be reconsidered);

the need for active support from local administrative energy centers in the installation of micro and small solar energy production systems with specific consultations at the project level with the aim of sustainable utilization of excess energy, optimization of consumption and

direct communication with the local network operator when needs arise;

presence of unscrupulous practices in the imposition of double charges by network operators;

mechanisms regarding network cost management and differentiation, balancing, energy delivery to the network and others;

a mechanism for net metering of consumed and produced electricity to create a clear economic incentive;

instructions for network operators to install smart electricity meters to enable the technical introduction of net metering;

easing of procedures only for the consumption of energy for own needs despite explicit EU legislative texts in the field.

The mentioned provisions would have a positive effect on the spread of installations for the production of energy from renewable sources where they are most needed - in people's homes.

Such systems cut grid losses because energy is consumed where it is produced, unlike large solar plants.

The lack of a regulatory framework is a major obstacle to the realization of small decentralized installations for the production of energy from renewable energy sources. Legislation still needs to be improved in order to give real priority to the production of energy where it is needed, namely in the household and small business sectors. It is these consumers who are again left behind with the task of discovering for themselves exactly how they could produce and share their own energy in an affordable, technically sound and legal way. Here is the key role of the municipalities, which by law have the obligation to offer simplified procedures and facilitate the process for the installation of such facilities. Among the small installations are the balcony photovoltaic systems, which could provide up to 30% of the annual energy consumption, for which the procedures are still too cumbersome. Easing them can inevitably change the long-established public attitude towards RES installations and allow household users to produce and consume part of their energy themselves.

Header photo photographer: Alexander Milenkov for Habitat Bulgaria (free to distribute).

The publication was created in partnership of Habitat Bulgaria with Climateka, under the project "Access to energy renovation".