Gyeonggi Province will double the budget for the ‘Residential Solar Power Support Project’ to 16 billion KRW compared to the previous year.
On the 5th, Gyeonggi Province announced that it has significantly expanded the budget related to residential solar power to reduce residents' living expenses, enhance the competitiveness of domestic solar power companies, and further respond to the climate crisis by expanding support for residential solar power installation costs.
On the 6th, Gyeonggi Province will hold the ‘2025 Power Self-Reliance 100,000 Households Project City/County Business Briefing’ at the Gyeonggi Economic Science Promotion Agency in Gwanggyo, Suwon.
At the briefing, detailed project plans for the Power Self-Reliance 100,000 Households Project, which have changed from the previous year, will be shared with project managers from 31 cities and counties, and training on how to use the self-developed ‘Gyeonggi Province Residential Solar Power Support System’ will be provided.
This year, Gyeonggi Province increased the project budget from 5.1 billion KRW last year to 10.6 billion KRW, more than doubling it, and also improved the support methods.
First, although many households want to install residential solar power, many could not receive support due to budget shortages. To allow more households to benefit, the residents’ self-payment ratio was raised from 30% to 50%.
As a result, the support scale is expected to increase significantly from about 2,600 households last year to about 6,100 households this year.
This year’s support methods include two types: city/county-linked projects and Gyeonggi Province’s independent support projects. For the independent support projects, residents can choose between ‘lump-sum payment’ or ‘installment payment.’
The installment payment method is newly introduced this year and allows residents who find it difficult to pay installation costs at once to defer payment over seven years. Although the self-payment ratio is 10 percentage points higher, considering the seven-year installment payment without separate interest, Gyeonggi Province explains that the actual resident self-payment is about 50%.
A sample survey of 50 households that participated in last year’s project by Gyeonggi Province showed that the average monthly electricity bill per household was reduced by about 70,000 KRW, indicating that the installation cost of residential solar power can be recovered within three years.
Households with higher electricity consumption can reduce their bills more significantly and recover costs faster. The installation cost standard for residential solar power will be determined later based on the unit price standard of the Korea Energy Agency.
Kim Yeon-ji, Director of the Energy Industry Division of Gyeonggi Province, said, "The reason Gyeonggi Province has significantly increased the residential solar power budget is because the electricity bill reduction effect is very large," adding, "We will lead efforts to reduce residents’ living expenses, enhance the competitiveness of domestic solar power companies, and respond to the climate crisis."
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