Around 8,400 families were expected to benefit from a €21 million fund to subsidise the purchase of photovoltaic equipment, Resources Minister George Pullicino said yesterday.

An average unit costs about €5,000 and can produce some 3,200 units of electricity per year

The scheme, funded by the EU, will pay for half the system, up to a maximum of €2,500. A feed-in tariff of 22c will be guaranteed for six years.

Mr Pullicino said €15 million in subsidies had been granted in similar schemes, targeting around 6,000 families.

The capital outlay needed to purchase PV panels dropped considerably because of higher demand. The pay-back period had also decreased, from seven to five-and-a-half years, he said.

An average unit costs about €5,000 and can produce some 3,200 units of electricity per year.

Mr Pullicino said the scheme, operated by the Malta Resources Authority, was expected to open within two to three weeks once the EU gave the green light for the release of the funds.

He said the European Commission had processed the application and the ministry was awaiting a formal letter confirming the funds would be granted.

He said the scheme was announced now because suppliers had asked for consumers to be given advance notice to prevent a rush and for families to be able to make an informed choice.

Mr Pullicino said that over the past five years, 50 companies providing renewable energy sources had been set up.

He said that through the Nationalist Party’s night tariff proposal, those who invested in solar-powered energy would consume less and would see a better return on investment.

The Government had identified Il-Qortin in Gozo and Magħtab in Malta where to install solar farms serving people who did not have roof space where to place PV panels and studies were being undertaken.