Turkey introduces tax exemption for solar up to 10 kW

Although the promised new provisions for net metering are not in force yet, the Turkish government has prepared the ground for future development by granting residential projects under the upcoming scheme an exemption from the 5% income tax on excess power delivered to the grid.

The Turkish government has decided to exempt owners of PV systems ranging in size from 3 kW to 10 kW from the 5% income tax on revenue generated from the sale of excess power to the grid under net metering.

The new provisions are included in a decree published in the country’s official journal by the Turkish Council of Ministers.

The tax exemption is intended to prepare the ground while encouraging homeowners to install a rooftop PV system, prior to the entry into force of the new rules for net metering, which are expected to come into effect by the end of the first half of this year.

As previously reported by pv magazine, other net metering rules for commercial and industrial solar power systems may be issued at a later stage, eventually by the end of 2018.

Currently, no kind of support is being provided to residential PV in Turkey. Almost all of its 2.6 GW of installed PV capacity, in fact, is represented by MW-sized PV plants built as unlicensed projects.

Pv Magazine

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