Israel Allows Private Energy Generation, Offers Credits for Power Fed to National Grid

JERUSALEM—Israel’s Public Utilities Authority board granted final approval Dec. 26 to a “net meter” program that it expects will expand renewable energy generating capacity by 400 megawatts in 2013.

The program will allow private consumers—from individual households to large commercial users—to generate their own electricity and feed any excess into the national grid. Most of the power is expected to be generated through solar units, the PUA said.

The new program greatly simplifies a bureaucratic process that PUA said has hampered Israel’s development of solar power systems for home use. Also, private consumers will not need a production license to ...