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Czech Republic Will Provide up to CZK 500 Million (EUR 20.6 Million) Subsidies to Support Agrivoltaics

/LONDON, January 5, 2025, 9:00 GMT, RENEWABLE MARKET WATCH™/

New developments are underway for photovoltaic installations on agricultural land in the Czech Republic, commonly referred to as agrivoltaics. This year marks a significant milestone, as agrovoltaics has been enshrined in law, and starting in January 2026, the state will introduce new subsidies to support farmers in this initiative.

Beginning in mid-January 2026, applications for support will be accepted as part of a new subsidy program, RES+ Call No. 6/2025, from the Modernisation Fund. The primary objective of this initiative is to facilitate the installation of new agro photovoltaic power plants on farmland that is maintained and registered in the LPIS land register. To promote the growth of this sector, the state has allocated CZK 300 million specifically for agrivoltaics development. Additionally, in anticipation of high demand, the ministry has set aside an extra CZK 200 million in reserve.

The subsidy program offers financial assistance covering up to 30 per cent of the costs associated with the development of agrivoltaics and related battery storage systems. Currently, agro photovoltaic power plants in Czechia are primarily in the pilot project stage; however, new legislation and an upcoming subsidy call are expected to drive significant advancements in this field, as indicated by the Ministry of the Environment. Outgoing Minister of the Environment Petr Hladík (KDU-ČSL) has highlighted agrivoltaics as a promising opportunity for enhancing collaboration between the agricultural and energy sectors in the country.

“It allows a single area to simultaneously produce clean energy and continue to be used for growing crops. Photovoltaics can be placed above orchards, vineyards, hop fields, or arable land with vegetables. This significantly increases the overall productivity of the land—it protects crops from extreme weather, improves the microclimate, and brings energy self-sufficiency and cost savings to farmers,” said Hladík. According to the minister, agrivoltaics presents an invaluable opportunity, effectively alleviating the growing pressure to construct solar parks on open fields or ecologically sensitive landscapes. This innovative approach allows the land to retain its agricultural status, enabling farmers to continue cultivating crops while simultaneously harnessing solar energy.

In Czechia, the prospects for agrovoltaics are promising, with the potential to reach several hundred gigawatts of installed capacity in the upcoming years. Numerous projects are already in the pipeline, poised to move forward pending the necessary subsidy support for agrivoltaics. “Most of these initiatives are being developed in orchards,” remarked Jiří Bím, an expert representing the Solar Association.

This year, a significant advancement in policy occurred when agrivoltaics was officially recognised in legislation through an amendment to the Act on the Protection of Agricultural Land. This vital change allows dual use of agricultural land for farming and electricity generation, ensuring these areas remain within the agricultural land fund without being repurposed.

Agro-photovoltaic installations can be strategically situated above a variety of agricultural settings, including orchards, vineyards, hop fields, and permanent crops, as well as above arable land dedicated to high-value vegetables. By leveraging this method, “we can substantially enhance the overall productivity of the land,” stated Petr Hladík. He explained that these systems help shield crops from the adverse effects of extreme weather, improve local microclimates, and promote energy self-sufficiency, ultimately reducing costs for farmers.

Authorities have indicated that the subsidies will specifically support the establishment of new agro photovoltaic power plants with a single connection point to the distribution or transmission grid, situated on land that is actively managed and recognised in the land register. Additionally, the supporting framework includes provisions for battery systems intended for electricity storage. Agricultural entrepreneurs who are registered in the Agricultural Entrepreneur Register and actively farm land listed in the LPIS register, as well as those who possess or plan to acquire a license for electricity production, are eligible to apply for these subsidies.

The application window opens on January 15 of the upcoming year and continues until October 30, 2027, or until the allocated funds are depleted.

“This call aims to foster projects that are genuinely effective and of high technical quality,” explained Petr Valdman, director of the State Environmental Fund of the Czech Republic. Each project must have an installed capacity of at least 10 kW, and the level of funding can reach up to 30 per cent of eligible expenses. The specific subsidy amount will be determined based on factors such as the installed photovoltaic capacity, total project costs, and any additional battery storage capacity.

These subsidies build upon a November amendment to a decree that significantly broadened the criteria for agrivoltaics in Czechia. The amendment allows agro-photovoltaic power plants to be installed across a range of agricultural areas, including orchards, vineyards, hop fields, and permanent crops. Notably, this also applies to arable land used for high-intensity and very high-intensity vegetable cultivation, as emphasised by the ministry, which noted that this encompasses the vast majority of commonly cultivated vegetables.

For more information and answers to your questions about the solar energy market in the Czech Republic, and related content, you may read here: Czech Republic Solar Photovoltaic (PV) and Power Market Outlook 2025 – 2034

For a better understanding of the benefits of using our reports, you may read here: Benefit List – Reports of Renewable Market Watch – 2025

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