France to cut VAT to 5.5% for residential solar under 9 kW from October

France will cut value-added tax (VAT) to 5.5% on residential PV systems up to 9 kW starting in October 2025.

Aug 29, 2025 - 23:30
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France to cut VAT to 5.5% for residential solar under 9 kW from October

France will cut value-added tax (VAT) to 5.5% on residential PV systems up to 9 kW starting in October 2025.

From pv magazine France

The French government has outlined the conditions for applying a 5.5% VAT rate to residential solar installations under 9 kW, effective Oct. 1.

The industry is still awaiting publication of the official decree, but the draft conditions are set to be reviewed by the Higher Energy Council on Sept. 4.

To qualify for the reduced VAT rate, solar panels must meet criteria tied to manufacturing rather than use. The cumulative requirements are: a carbon footprint below 530 kgCO₂eq/kW, silver content under 14 mg/W, lead content below 0.1%, and cadmium content below 0.01%.

The thresholds are designed to push the market toward panels with lower critical metal content and reduced environmental impact.

The draft decree also requires verification by accredited certification bodies. Certification must cover industrial traceability – identification of production sites for modules, cells and wafers, details of the most recent audit within 12 months, and results for each of the four criteria. Certifications will be valid for one year.

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