Households exporting surplus electricity to the grid will be able to keep more of what they earn, a Fine Gael TD has said, a change he believes will encourage more homes to install solar panels.

Deputy Naoise Ó Muirí, chair of the Oireachtas Climate, Environment and Energy Committee, said lifting the income tax disregard on payments for electricity sold back to the grid from €400 to €600 would make the option more appealing to families.

"It's great to see this increase of €200 in the income tax disregard Deputy Ó Muirí said, adding that the change would make a real difference to families who have already invested in their own energy supply, as well as those considering it.

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"People who put panels on their roof and send surplus power back to the grid should be rewarded for it. This is a simple, practical measure that puts that into effect."

He added that boosting home generation would help reduce bills and strengthen Ireland's energy security.

"Every home that generates its own electricity is helping to build a more secure and sustainable energy system. Budget 2027 makes it easier for more households to do just that."

The package was developed through the National Energy Affordability Taskforce and builds on more than €1.4 billion in energy affordability measures introduced since March. Most measures will open from October, with some to follow in the first quarter of 2027.