Solar parks of 400 KW and over subject to target model terms

The EU plans to reduce a level committing solar power parks to target model terms  to 400 KW from 500 KW as of January 1, 2020, a development that promises to directly impact investor plans. Related Greek legislation will need to be ratified by the start of next year.

As a result, DAPEEP, the renewable energy market operator, will endorse operating aid contracts, reinforcing fixed prices, for new solar energy parks of up to 400 KW, while ventures with capacities over this level must hold feed-in premium contracts.

Target model obligations for holders of feed-in premium contracts require their participation in day-ahead markets – for matters concerning energy, not price – and the balancing market, which carries a discrepancy cost for investors.

According to sources, an EU decision has also been reached that will enable member states to continue offering existing and approved RES support systems for a two-year period beyond 2020, in 2021 and 2022.