Moldova introduces feed-in tariff for small scale solar

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Moldovan energy regulator ANRE has approved 15-year feed-in tariffs (FITs) for renewable energy projects with a generation capacity of no more than 1 MW.

The suggested FIT tariff was submitted for public consultation five months ago and the payment will come into force once published in the country’s official journal in the next few days.

The solar FIT has risen slightly from the proposed MDL1.79/kWh to MDL1.88 ($0.105671). Developers who secure a FIT contract will have two years to get projects grid connected. The government expects to drive 15 MW of new solar capacity under the FIT program for small scale arrays.

Auctions

The Moldovan government will use auctions to procure 25 MW of larger project capacity and will consider the MDL1.88 tariff as a reference for the ceiling price. The European Bank for Reconstruction and Development said in October 2018 the Moldovan government wanted to start renewables auctions last year but that never took place. The government has not specified when auctions are expected to start.

The government hopes to allocate 168 MW of renewables generation capacity through its new FIT levels. Solar projects secured the second most generous FIT level, behind the MDL1.96/kWh allotted for biomass-based co-generation. Biogas co-generation schemes will earn MDL1.84/kWh, wind projects MDL1.55 and hydro facilities MDL0.97.

State-owned energy distributor Energocom will be the sole buyer of the clean electricity generated.

“With the final approval of the FITs, the Moldovan authorities confirmed their interest for the development of renewable energies in our country,” said Vitali Zveaghintev, founder of installer Zaw Energy.

Moldova relies heavily on electricity imported from Ukraine and the breakaway Moldovan state of Transnistria. Moldova had only 2 MW of installed solar capacity at the end of 2018, according to International Renewable Energy Agency statistics.