Romania halves certificates for solar PV starting January 2014

Share

In a recent announcement, the Romanian government has moved to reduce support for solar PV, wind and hydro energies by cutting the number of green certificates per generated MW.

The new measure, starting on 1st January 2014, will affect only projects finished after January 2014.

Of the three renewable types of technology, solar PV is facing the sharpest reduction. Thus, solar PV projects completed after 1st January will only receive three green certificates per MW, compared with six they receive now.

Romania applies a quota system for supporting renewable energies according to which project developers receive green certificates for each megawatt generated for a period of 15 years after commissioning. Power suppliers and large industrial users are forced to buy the certificates based on an annual quota set by the energy regulator. Therefore, project developers gain firstly by selling certificates and again when they sell their electricity.

However, in a recent study, the National Energy Regulatory Authority (ANRE) argued that renewable power producers receive far too many certificates for the energy they generate compared to the investments they make in power plants. Thus, it advised the Romanian government to reduce the number of green certificates per quota.

In doing so, the Romanian government insisted that its efforts are an attempt to minimize the effects of electricity price spikes for industry and households.

The new subsidy cuts, starting tomorrow, follows a green certificate suspension approved in June according to which the government suspends two out of six green certificates awarded to PV energy producers per MWh fed into the grid. Tomorrow’s policy does not, however, concern these projects.

Nevertheless, many critics argue that the Romanian government’s latest policy measure is an attempt to reduce the investment flow into solar PV and other renewable technologies, which have by far exceeded the initial national targets set by the energy regulator according to the country’s EU commitments.

Popular content

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.

Share

Related content

Elsewhere on pv magazine...

Leave a Reply

Please be mindful of our community standards.

Your email address will not be published. Required fields are marked *

By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.

Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.

You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.

Further information on data privacy can be found in our Data Protection Policy.