Solar panels in Luxembourg: where to start?
- Lux-Assurances
- Apr 15
- 3 min read
Installing solar panels in Luxembourg is a smart move to reduce your electricity bill and help protect the environment. This article guides you through the main steps to complete your project, from financial assistance to the importance of taking out suitable photovoltaic panel insurance.
Financial aid for the installation of photovoltaic panels in Luxembourg
The Luxembourg government encourages the adoption of renewable energy by offering various financial assistance for the installation of solar panels.
• Climate bonus:
This program offers a subsidy covering up to 50% of installation costs for self-use systems , with a threshold of 1,250 euros per kWp installed.
For installations with total injection, the aid is 20% of the costs, capped at 500 euros per kWc. This aid is available for installations invoiced between January 1, 2022 and December 31, 2025.
ℹ︎ Good to know: If your household has a modest income, you may be eligible for the Klimabonus Social Topup. This aid aims to help low-income households avoid energy poverty related to energy costs.
• Municipal aid:
Some municipalities offer additional subsidies, representing up to 50% of state aid. It is recommended that you contact your local communal administration to find out about specific grants available for renewable energy installations.
• Tax exemption:
In Luxembourg, income generated by the sale of electricity produced by installations of less than 10 kWp is tax-exempt, which improves the profitability of your investment.
• Super-reduced VAT:
The delivery and installation of photovoltaic panels can benefit from a super-reduced rate of 3%, provided that the installation of the panels is carried out on or in the immediate vicinity of private dwellings or buildings used for activities of general interest.
For advice tailored to your project, you can contact a Klima-Agence advisor.
2. Profitability and costs of a photovoltaic installation
Investing in photovoltaic panels represents an initial financial commitment, but the savings made over the long term make this investment attractive:
Estimated cost: For a 6 kWp installation, the total cost is approximately 13,900 euros, including panels, inverter, additional equipment and installation.
Return on investment: Thanks to financial aid and savings on the electricity bill, profitability is generally achieved in 6 to 8 years.
Resale of electricity: In the event of surplus production, you can resell the electricity injected into the network at an advantageous rate, set by the State for a period of 15 years, from the first injection.
ℹ︎ Foyer's Mozaïk home insurance offers coverage against indirect losses due to the lack of productivity of your photovoltaic installation.
The importance of insurance for your solar panels
Protecting your investment is essential. Choosing the right insurance guarantees coverage in the event of damage or loss. Home insurance policies often include solar panels in their coverage. It's essential to check the terms of your contract to ensure your installation is properly covered.
Foyer guarantees material damage to your installations whether it concerns a fall, collision, theft or manufacturing defect as well as indirect loss due to lack of productivity .
ℹ︎ Remember to inform your insurer about the installation of photovoltaic panels to ensure adequate coverage and avoid any unpleasant surprises in the event of damage.
4. Key steps to start your photovoltaic project
Assessment of solar potential:
Consult the interactive solar cadastre of Luxembourg to determine the potential of your roof and estimate the profitability of the installation.
Choosing a qualified installer:
Selecting a certified business ensures the installation complies with standards and allows you to benefit from the Klimabonus aid.
Administrative procedures:
Gather the necessary information on the financial aid available for photovoltaic installation and prepare the documents required for grant applications and installation permits.
Taking out suitable insurance:
Make sure your home insurance covers your solar panel installation. If not, consider purchasing specific solar panel insurance.
By following these steps, you'll have a solid foundation for a successful solar panel installation project in Luxembourg. Mozaïk insurance can cover damage to your solar panels, as well as any other type of eco-friendly installation, such as photovoltaic panels, heat pumps, domestic wind turbines, and more.
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