RES injection cuts at 228 GWh in ’23, bigger cuts in 2024-25

Renewable energy output not injected into the grid last year, to keep the market balanced, reached a considerable sum of 228 GWh, roughly 1.1 percent of overall renewable-energy output in 2023, while the level of grid-injection cuts is expected to rise further in 2024 and 2025.

At present, power grid operator IPTO is making these grid-injection cuts horizontally and proportionally, limiting the production capacities of RES facilities in operation. Also, cuts are being made at projects enabling remote intervention.

The 228 GWh of renewable energy output not injected into the grid in 2023 resulted from a need to maintain a balance between excess production and demand, as well as to keep imports and exports at an equilibrium – not to prevent grid congestion.

Further grid-injection cuts are anticipated over the next couple of years as RES penetration will increase significantly but electricity demand is seen remaining relatively unchanged.

These grid-injection cuts cuts are expected to drop considerably as of 2026, when a first wave of energy storage units is planned to be launched.

A special framework being developed by a project-management division at the energy ministry will also help subdue these cuts as it should offer clarity to investors by offering a far clearer picture on the proportion of RES output that will not be injected into the system and for which, therefore, they will not be compensated, meaning investors will be able to shape business plans without threatening the financial viability of their projects.