UK energy supplier E.ON has initiated a pioneering solar sharing project in London aimed at harnessing the benefits of local solar power generation to reduce energy costs and carbon emissions within the community. The pilot project features the installation of 270 solar photovoltaic (PV) panels at St Luke’s Church of England Voluntary Aided Primary School in Canning Town, East London. This system is expected to generate approximately 100MWh annually, covering around 50% of the school’s energy requirements. E.ON will fund, install, and maintain the system at no upfront cost to the school, projecting savings of over £7,000 per year for the school and its surrounding community.

Uniquely, any surplus solar energy produced onsite will be shared with nearby homes at a discounted rate, without the need for a physical power connection. Instead, half-hourly metering data will be used to match energy generation with local consumption, applying credits towards customers’ electricity bills for the solar energy they use. This innovative approach, described by Ramona Vlasiu, Chief Operating Officer at E.ON Next, is intended to demonstrate that energy sharing can deliver both financial and environmental benefits. However, she emphasises that regulatory reforms are necessary to accelerate the deployment of similar projects across the UK.

E.ON is advocating for significant policy changes to support local energy sharing initiatives. Currently, social and environmental levies are applied broadly to both fossil fuel-generated and green electricity, contributing to higher costs for renewable energy consumption and discouraging community-level clean energy adoption. The utility argues that these levies should be removed for projects where energy remains within the local network, as this naturally reduces transmission expenses and supports investment in distributed generation. This stance aligns with Ofgem’s recent call for evidence on reforming how energy network costs are shared, signalling a timely opportunity for policy evolution.

The pilot at St Luke’s fits into a broader vision promoted by E.ON for Energy Sharing Communities, where solar PV installations on public buildings such as schools, hospitals, and libraries generate power for onsite use and share excess with local residents. Industry data indicates that utilising all suitable rooftops and car parks across the UK could generate up to 117GW of solar power, far exceeding the government’s target of 70GW by 2035. Such community-focused solar projects could play a crucial role in achieving net zero goals by enhancing energy affordability, sustainability, and resilience.

The Right Reverend Roger Morris, Bishop of Colchester and Chair of the Diocese of Chelmsford’s Diocesan Board of Education, highlighted the current economic paradox where additional costs attached to electricity have made renewable energy seemingly more expensive than fossil fuels. He praised the pilot as a vital demonstration of the abundance and cost-effectiveness of solar energy, underscoring the potential benefits of wider adoption.

As the UK continues to transform its energy system, E.ON’s solar sharing pilot in East London exemplifies how community-scale solutions can contribute to a cleaner, more affordable, and resilient energy future, provided that regulatory frameworks evolve to support innovation and local collaboration.

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Source: Noah Wire Services