RES sector seeks share of new ‘development law’ benefits

Renewable energy source (RES) sector officials are seeking a share of the benefits expected from a new “development law” being prepared to offer incentives and subsidies in an effort to boost economic activity.

The RES domain’s wind-energy, biomass, hydropower, and pumped-storage sectors are believed to be particularly interested. The RES sector has officially informed Economy, Development and Tourism Minister Giorgos Stathakis of its interest.

Besides supporting investment of RES production facilities, sector authorities also want the new development law to back related network and infrastructure development, which would promote growth, such as interconnection projects for islands, as well as energy storage projects, believed to have great growth potential.

RES sector officials have also requested that authorities swiften their inspections of completed RES projects included in a preceding “development law”, as well as projects under construction, in an effort for investors to collect at least parts of subsidy amounts they are entitled to, as has been previously reported by energypress.

Certain projects, especially wind-energy facilities, have been completed and connected to the grid, but their investors have yet to receive subsidies promised through the older “developmet law”. In addition, guarantees submitted in advance by these investors have not been returned, consequently binding considerable amounts of capital.

Other RES projects have been left unfinished as the entrepreneurs behind them have not been able to make further progress without the subsidies they had anticipated through the older development law.

The subsidy delay has officially been attributed to pending inspections on RES projects by ministry-linked authorities as a final step before the green light for payments is given. However, it is now commonly suspected the underlying reason concerns the state’s inability to provide the amounts promised through the “development law”.