Support system for investments in renewable energy sources and expected changes in the Slovak Republic
It a li a n – s lo v ak C ha mbe r o f co mme rc e 1 7.0 7 .2 0 13 , br a tis l a va
Objectives arising from the commitments Commitments towards the European Union by 2020: ◦ Emissions of greenhouse gases: - 12% ◦ Energy savings compared to 2001-2005: 11% ◦ Renewable energy sources on final consumption: 14 %
Targets for renewable energy Directive 2009/28/EC on support for exploitation of energy from renewable sources ◦ 14 % RES of gross final energy consumption ◦ 10 % RES in transport
National Action Plan for Energy from RES ◦ ◦ ◦ ◦
15,3 % RES of gross final energy consumption 24,0 % electricity from RES 14,6 % heat from RES 10,0 % transport with FER
Exploitation of RES o Use trend: stable growth ◦
2001: 30 PJ
◦
2011: 54 PJ (growth corresponding to the extraction of coal at national level)
o Priorities ◦ Types of RES with prices similar to those of the market - minimizing of the impact on the final price of energy ◦
In the near future will be mainly supported the use of RES for the production of heat
o Medium term target (2020): ◦
Share of RES in gross final energy consumption (commitment at EU level) 14 %
o Long-term objective (2040 ): ◦
Share of RES in gross final energy consumption:
◦
Percentage of electricity from RES in the consumption of electrical energy: 29 %
◦
Use of RES for the production of heat:
26 % 30 %
(2010: 10%) (2010: 10 %)
(2010: 19%)
Existing measures Description
Type of measure
Expected results
Target group
Obbligation of mixed bio-components
regulatory
Aumento dell’uso delle FER nei trasporti
Manufacturers of motor fuel
Support the use of RES in the business sector
financial (EU funds)
Produzione di energia elettrica e calore da FER
Investors
Support the use of RES in households
financial
Installation of biomass boilers or solar collectors
Families
Support for the production of it. electric (purchase prices)
legislative
Increased production of 2.5 TWh of electricity
Investors
Biomethane production
regulatory
Exploitation of biomass from agriculture
Investors
Legislative support Name ◦ Law no. 309/2009 Coll on support for renewable energy sources and high efficiency combined production, and amendments and supplements to certain laws Ratification ◦ June 19, 2009 at the Slovak Parliament Entry into force ◦ September 1, 2009 Amendments ◦ Law no. 492/2010 Coll. ◦ Law no. 558/2010 Coll. ◦ Law no. 136/2011 Coll. ◦ Law no. 189/2012 Coll. ◦ Law no. 373/2012 Coll. ◦ Law no. 30/2013 Coll.
(entry into force 1. 1. 2011) (entry into force 1. 2. 2011) (entry into force 1. 5. 2011) (entry into force 1. 8. 2012) (entry into force 1. 1. 2013) (entry into force 1. 3. 2013)
Support mode for energy from RES
System purchase price - feed-in tariffs o
Priorities 1. Connection to the distribution system 2. Access to the system (based on the access contract) 3. Electricity transmission, electricity distribution and supply of electricity
Obligation to levy at the price determined by the electricity cost for losses
o
Supplement, namely the difference between the purchase price and the price for the losses
o
o
Taking responsibility for any differences
Limitations of support Conditions for aid of energy from RES o Value of installed power • Up to 125 MW o 200 MW – maximum threshold of aid • Up to 10 MW o 15 MW – above these thresholds only part of electricity production is granted aid • Up to 1 MW – undertaking of responsibility for differences • Up to 100 kW (30 KW) – threshold of aid to photovoltaic (1.7.2013) o Age classification • 15 years o Further conditions relating to the type of Res • biomass • biogas • biomethane • photovoltaic
Amount of purchase prices o Defining the prices, the authority for adjustment of the network branches takes account of Type of renewable energy source, Used technology, Date of activation of the electricity production plant by the manufacturer or possibly the date of reconstruction and modernization of the electricity production plant by the manufacturer, and Size of the installed power of the electricity production plant o The price of electricity remains the same in the years following the one in which the plant was activated o The authority for the regulation of the network branches can increase the cost through using a supplement that covers the increased costs of raw materials o If a grant for systems acquisition through support programs financed by the State budget or by EU funds has been provided, the price of electricity will be reduced depending on the amount of the grant (from 4% to 16%) oThe price of electricity determined by the authority for the further period (no more than three years) can not be less than 80% of the valid price in the year in which the data amount is defined.
Guarantees of origin (1) Guarantees integrated from 1. 5. 2011 as the transposition of directive 2009/28/CE The authority for the regulation of the branches of network shall issue to the producer of electricity from renewable sources a document in electronic format for each megawatt / hour, if: • The applicant is registered in the electronic database managed by the authority • The applicant indicates all the information for the compilation of the electronic database and • The data of the applicant have been verified by the autority
Guarantees of origin (2) Autority • Record the original guarantees of electricity from renewable sources on electronic database, • Cancel the original guarantee of electricity from renewable sources, • Runs the supervision on the transfer of original guarantees of electricity from renewable sources. • The original guarantee of electricity from renewable sources can only be used within 12 months from date of production of electricity from renewable sources.
Guarantees of origin (3) o The original guarantee of electricity from renewable sources can be transferred to another participant in the electricity market on the basis of a sales contract of the original guarantee of electricity from renewable sources. The quantity of electricity corresponding to original guarantees transferred by the supplier to another participant is deducted from the portion of electricity from renewable energy in the relative supply of electricity. o The support surcharge does not apply to electricity corresponding to the transferred collateral. o After use by the electricity provider or the end user the guarantee of origin of electricity from renewable sources is cancelled.
Achieving the objective Click to edit Master text styles ◦ Second level ◦ Third level ◦ Fourth level ◦ Fifth level
New energy policy Developed and approved by the Ministry of Economy in April 2013 during the process of environmental impact analysis. Startintg points: • Balanced energy mix • Rapid decrease in energy needs • Energy consumption per inhabitant is about 10% lower than EU • Significant impact of the economic crisis on energy consumption Slow growth in energy consumption to pre-crisis levels Stagnation of the electricity consumption the past few years
Objectives of the new energy policy Strategic objective Achieve a competitive level and low-carbon supplies to ensure safe, reliable and efficient of all forms of energy at acceptable prices, with respect to consumer protection and sustainable development Pillars
Energy security
Energy Efficiency
Competitiveness
Sustainable development
Priorities of the new energy policy Diversification of energy sources and transport circuits
Energy efficiency
Using of nuclear energy as the main source without carbon
Nuclear safety and reliability of nuclear power plants
Priorities for production Increase in the share of of high efficacy production of electricity combined electricity and at low or zero carbon heat content
Energy market with well-functioning competitive environment
Efficient development of energy infrastructure
Budget surplus of electricity and exports
Increase of the percentage of renewable energy sources for the production of heat Competitive energy
Proposed measures • Aim the 2014-2020 Structural Funds in the renewable energy sector especially at heat production from renewable energy sector • Monitor the efficiency costs for renewable energy sector aid, including system purchase prices and including the impact of this support on the final prices for the consumer • In defining the purchase prices, take into consideration the influence of prices on the final cost of electricity • Simplify administrative procedures, shorten the time required to obtain permission for the installation of renewable energy technologies, especially in the case of projects of lower flow rate • Perform an analysis of costs and revenues and the impact of renewable energy sector as well as support policies in order to motivate the spread of renewable energy sector, then make the results of the analysis public • Support mechanisms to enable local and distributed installations of renewable energy sector, which pass by the support surcharge to other mechanisms that do not exacerbate the load on the end consumer
Upcoming financial measures Description
Type of measure / year of entry into force
Expected result
Target group
Support for the reconstruction of heat pipes
budget (UE fund) 2014
Energy saving, providing stimulus to the central heat
Investor
Support for the use of RES in the business sector
budget (UE fund) 2014
Heat production from RES
Investor
Support for the use of RES for heating and cooling buildings
budget (UE fund) 2014
Production of heat and cold air in public buildings
Public administration
Expected changes in the laws Proposal for amendment of Law no. 309/2009 Coll. ◦ More efficient supports insurance ◦ Reduction of the influence on the growth rate for the system management ◦ Better use of energy to produce electricity with simultaneous use of heat ◦ Tendency towards sources with low impact on the final price for the user ◦ Simplifying the process of connecting and administrative procedures for the use of small power up to 10kW for families
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