Authority issues new wave of RES licenses for 27 projects, 491 MW

RAE, the Regulatory Authority for Energy, has just issued 27 RES producer certificates for as many projects, taking the tally of this new certificate, part of the government’s RES licensing simplification process, to 33.

The authority issued a first wave of new producer certificates towards the end of last month.

The 27 new producer certificates, issued by RAE yesterday, concern eight wind energy parks offering a total capacity of 171.15 MW, 17 solar energy projects with a total capacity of 318.48 MW, and two small-scale hydropower projects offering 2.1 MW, their overall capacity being 491.73 MW.

Four photovoltaic facilities planned by Consortium Solar Power in central Greece’s Fthiotida and Larissa areas, totaling 284 MW, are standout projects in terms of scale.

Enel Green Power was also well presented in this licensing round with a total of six projects, all solar, three of these in Xanthi, northeastern Greece, totaling 7.07 MW, and one each in Rodopi (2.72 MW), Kozani (3.6 MW) and Ioannina (1.99 MW).

As for the two small-scale hydropower projects just issued licenses, one, offering a capacity of 1.54 MW, belongs to the Koryfi K2 Energiaki company, the other, 0.6 MW, to Hydroilektriki.

RES project completion, without connection, to suffice for tariffs

The energy ministry is working to revise a rule that determines when development of RES projects is considered complete, which enables them to secure their tariff prices for output, either through competitive procedures or not.

Under the current rules, RES projects are considered ready once they have been connected to networks, not when their development has been completed.

This has proven to be a major problem for investors behind wind and solar energy projects completed on time but unable to secure tariff prices as a result of the inability of power grid IPTO or distribution network operator DEDDIE/HEDNO to offer connections when needed.

The matter is being worked on, the energy ministry’s secretary-general Alexandra Sdoukou noted during a virtual conference staged by the Hellenic-French Chamber of Commerce and Industry.

Final decisions have not been reached but the plan is to have authorities inspect and certify the completion of RES projects regardless of whether they have been connected, in order to secure tariff levels available at the time, sources informed.

The energy ministry is also striving to further simplify RES licensing procedures by merging or even eliminating certain steps or permits currently required, according to Sdoukou.

 

 

RAE close to launching first stage of RES online registry

RAE, the Regulatory Authority for Energy, is nearing the launch of the first stage of an online system appraising RES production license applications lodged up to June, 2018.

This step represents the first of three stages towards the establishment of a fully developed online platform for license application appraisals.

Applications grouped into the first category (dated up to June, 2018) will be appraised on the basis of an older regulation awarding production licenses, not producer certificates as foreseen by a new law ratified to help simplify RES licensing procedures.

This dividing line has been drawn to keep conditions fair for all as applicants as appraisals of license applications lodged up to June, 2018 had already commenced prior to the new law’s introduction.

The online tool’s imminent first step will offer a basic version of a system that will be upgraded into a more sophisticated tool for appraisals of a second group of applications submitted between September, 2018 and December, 2019.

Applications grouped into this second category will be appraised in accordance with  new and simpler rules offering producer certificates via an instant – if all requirements are met – online process.

Overall, the task of examining all older RES license applications (first and second category) is challenging as 1,750 applications with a total capacity of 29 GW will need to be appraised by September, when a new round of applications is set to commence under the new system.

A third stage of the online tool will be developed at a latter date for a fully developed online RES registry offering automatic processing of newer applications and issuance of producer certificates.

 

First stage of RES licensing simplification done, rest on way

A day after Greek Parliament’s ratification of a bill radically simplifying the first stage of the RES licensing procedure by granting project developers production licenses online and instantly if all requirements are met, authorities have begun work to simplify the rest of the licensing procedure, all the way to the issuance of RES unit operating licenses, energypress sources have informed.

The energy ministry’s secretary-general Alexandra Sdoukou, heading a special committee tasked with this project, has asked agencies representing various green energy technologies to forward updated proposals by Monday.

Then, days later, on Friday week, the committee, comprised of energy ministry officials, licensing authorities and market representatives, will stage a teleconference to discuss a number of issues, simplification of all other RES licensing procedures – beyond the first step now ratified – being at the top of the agenda.

Energy ministry officials are expected to table a groundbreaking proposal that would abolish installation licenses but maintain operating licenses. This proposal will be examined by the committee and implemented if deemed feasible.

The committee will shoot for the delivery of an initial plan before summer. Once ready, it will be forwarded for consultation. Any revisions during this process will make up the content of a draft bill finalizing the RES licensing simplifications.

Greece is striving to align with an EU directive requiring a RES licensing procedure time limit of two years for most projects and three years for special projects by June next year, deputy energy minister Gerassimos Thomas told parliament.

RES revisions supporting installations head to parliament

Large and small-scale solar and wind energy projects stand to benefit from a series of revisions included in a draft bill on RES and environmental matters set to be discussed by parliamentary committees ahead of ratification.

Besides introducing a simpler RES licensing procedure that replaces production licenses with producer certificates obtained instantly online as long as all criteria are met, the environmental draft bill also includes a series of other favorable measures.

Projects not required to participate in RES auctions, such as solar energy projects of up to 500 KW, will be given four-month extensions – from the most recent RES auction – for tariff prices determined through a previous formula offering, as the tariff price, the average level of three preceding auctions. Therefore, if the next RES auction were to be staged in July, for example, current tariffs for projects not required to participate in RES auctions would remain valid until November.

The draft bill also features a revision broadening a “special projects” category to include wind energy projects of over 150 MW as well as RES projects with underwater cable interconnections. Projects in this category will have six years for completion.

Also, a withholding tax concerning licenses issued in 2017, 2018 and 2019 will be reduced to one third of the current level, this being 1,000 euros per megawatt, annually.

The revisions also offer landowners protection from investors seeking to utilize property for RES projects without providing property titles or land lease agreements to authorities. This matter has caused confusion.

 

Withholding tax cut for RES licenses bigger than planned

The energy ministry has responded favorably to a call by renewable energy producers, primarily wind energy farmers, for a reduction of withholding taxes concerning licenses issued in 2017, 2018 and 2019.

This tax cost will be reduced to one third of its regular amount – 1,000 euros per megawatt, annually – for licenses issued during the three-year period and will be payable over two installments, energypress sources have informed.

An amendment facilitating the tax revision will be attached to a draft bill covering various environmental matters, expected to be submitted to parliament either today or tomorrow, the sources added.

The revision promises an even greater tax reduction for RES licenses compared to a previous plan that had envisioned a 50 percent cut.

The government plans to abolish this withholding tax for RES licenses issued as of 2020 as part of a series of key changes aiming for investor-friendly simplification of the RES licensing procedure.

RAE aims for swifter processing of RES production license bids

RAE, the Regulatory Authority for Energy, faces the challenging task of processing the majority of more than 1,800 renewable energy production license applications currently accumulated at the authority by June, when a new and more efficient online application platform is set to be launched.

The unprocessed applications submitted by investors, all on paper and dating as far back as 2018, represent a total capacity in excess of 29 GW.

Under the new online system, prospective RES investors will no longer require to gain production licenses. Instead, they will apply for electricity producer certificates to be issued virtually automatically – if all requirements are met – through the online procedure.

New terms introduced for the upcoming online procedure will be used to appraise the old unprocessed applications, which include bids submitted during RAE’s December cycle.

RAE and the energy ministry are making a coordinated effort for the adoption, by the authority, of a fast-track procedure promising partial automation for the old applications through an online tool. But they will still need to be looked at one by one.

Authorities will manually check if basic requirements have been met, including payment of related fees – the amount is smaller for old applications – and spatial issues, a crucial factor.