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Annex 5 — Intermittency in production and balancing power: Renewable energies reduce air pollution and greenhouse gas emissions. They could also help improve economic and social prospects in the rural and isolated regions of industrialised countries and provide a better means of meeting basic energy needs in developing countries.

The cumulative effect of all these benefits makes a robust case for supporting renewables. The recent very dry years and the considerable growth of electricity consumption affect the percentage of RES-E in consumption as a whole.

One percentage point of the objective on renewable electricity has been missed in the last three years due to the important draughts occurring in Europe.

To avoid the interference due to the variability of rain conditions in recent years, Figure 2 shows all renewable energies apart from hydropower. In recent years, the growth in renewable electricity has been faster with the non-hydro sources. Figure 2 shows the impressive evolution of wind three countries were mainly responsible for the growth of this sector up to and the other sectors such as biomass, geothermal and photovoltaic atsinaujonantys energy.

Hydropower remains the dominant source, but new renewable sources such as biomass or wind are starting to play a role. Austria Feed-in tariffs now terminated combined with regional investment incentives. Feed-in tariffs have ssltiniai guaranteed for 13 years.


The instrument was only effective for new installations with permission until December The active period of the system has not been extended nor has the instrument been replaced by an alternative one. The Federal government has set minimum prices for electricity from RES. Flanders and Wallonia have introduced a quota obligation system based on TGCs with the obligation on electricity suppliers.

In Brussels no support scheme has been implemented yet. Wind offshore is supported at federal level. Denmark Premium feed-in tariffs environmental adder and tender schemes for wind offshore. Settlement prices are valid for 10 years. The tariff level is generally rather low compared to the previously high feed-in tariffs. Finland Energy tax exemption combined with investment incentives.

Feed-in tariffs saliniai guaranteed for 20 years Renewable Energy Act. Furthermore soft loans and tax incentives are available. Greece Feed-in tariffs combined with investment incentives. Feed-in tariffs are guaranteed for 10 years. It has been announced that the tendering scheme will be replaced by a feed-in tariff scheme.

Tendering schemes with technology bands and price caps. Also tax incentives for investment in electricity from RES. Anew feed-in tariff system for photovoltaic waltiniai since 5th August Obligation based on TGCs on electricity suppliers. Certificates are only issued for new RES-E capacity during the first eight years of operation.

Feed-in tariffs guaranteed for 10 years for PV for 20 years. Investment incentives also available. Feed-in tariffs guaranteed for 10 years.


Fiscal incentives for investment in RES are available. The energy tax exemption on electricity from RES ended on 1 January Portugal Feed-in tariffs combined with investment incentives. Electricity producers can choose between a fixed feed-in tariff or a premium on top of the conventional electricity price, both are available over the entire lifetime of a RES power plant. Soft loans, tax incentives and regional investment incentives are available.

Obligation based on TGCs on electricity consumers.

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For wind energy, investment incentives and a small environmental bonus are available. Electricity companies which do not comply with the obligation have to pay a buy-out penalty. Cyprus Grant scheme for the promotion of RES since February financed through an electricity consumption tax of 0.

Promotion scheme is fixed only for a 3-year period. Czech Republic Feed-in tariffs sincesupported by investment grants Revision and improvement of the tariffs in February Relatively high feed-in tariffs with year guaranteed support. Producer can choose between a fixed feed-in tariff or a premium tariff green bonus. For biomass cogeneration, only the green bonus applies.

Estonia Feed-in tariff system with purchase obligation. Feed-in tariffs paid for up to 7 years for biomass and hydro and up to 12 years for wind and other technologies. All support schemes are scheduled to end in Together with relatively low feed-in tariffs this makes renewable investments very difficult.

Hungary Feed-in tariff since January combined with purchase obligation and tenders for grants. Medium tariffs 6 to 6. Actions to support RES are not coordinated, and political support varies. Satliniai this results in high investment risks and low penetration. Latvia Quota obligation system since combined with feed-in tariffs. Frequent policy changes and the short duration of guaranteed feed-in tariffs result in high investment uncertainty.

The high feed-in tariff scheme for wind and small hydropower plants less than 2 MW was phased out in January Lithuania Relatively high feed-in tariffs combined with a purchase obligation.

In addition good conditions for grid connections and investment programmes. Closure of the Ignalina nuclear plant will strongly affect eenrgijos prices and thus the competitive position of renewables as well as renewable support. Investment programmes limited to companies registered in Lithuania.

Poland Green power purchase obligation with targets specified until In addition renewables are exempted from the small excise tax. No penalties defined and lack of target enforcement. Slovak Republic Programme supporting RES and energy efficiency, including feed-in tariffs and tax incentives. Very little support for renewables. The main support programme runs frombut there is no certainty as to the time frame or tariffs. The low support, saltinaii of funding and lack of longer-term certainty make investors very reluctant.

Slovenia Feed-in system combined with long-term guaranteed contracts, CO2 taxation and public funds for environmental investments. Bulgaria Combination of feed-in tariffs, tax incentives and purchase obligation.

Relatively low levels of incentive make penetration of renewables especially difficult as the current commodity prices for electricity are still relatively low. A green certificate system to support renewable electricity developments has been proposed. Bulgaria recently agreed upon an indicative target for renewable electricity, which is expected to provide a good incentive for further promotion of renewable support schemes.

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Romania Subsidy fund sincefeed-in tariffs. Romania recently agreed upon an indicative target for renewable electricity, which is expected to provide a good incentive for further promotion of renewable support schemes. The generation cost for renewable energies shows a wide variation see Figure 1. Any assessment of support schemes should therefore be carried out for each sector. This is due to the different country-specific cost-resource conditions and the considerable differences in the support instruments applied in these countries.


In order to compare the prices paid for the different RES-E generation options with the costs in each Member State, both quantities are analysed and shown simultaneously for wind onshore, agricultural biogas, biomass forestry, small-scale hydropower and atsniaujinantys photovoltaic.

Before comparing costs and support levels among the countries, we have to make sure we are dealing with comparable quantities. In particular, the support level in each country needs to be normalised according to the duration of support in each country, e.

The support level under each instrument has therefore been normalised to a common duration of 15 years.

The conversion between the country-specific duration and the harmonised support duration of 15 years is performed assuming a 6. Only minimum to average generation costs are shown because the readability of the atzinaujinantys would suffer if the upper cost range for the different RES-E were shown as well.

In more complex terms, effectiveness is defined as the ratio of the change in the electricity generation potential over a given period of time to the additional realisable mid-term potential by for a specific technology, where the exact definition of effectiveness reads as follows:.

This definition of effectiveness is a measure of the available potentials of a specific country for individual technologies. This appears to be the correct approach since Member State targets as determined in the RES-E directive are based mainly on the aaltiniai generation potential of each country.

The yearly effectiveness of a Member State policy is the ratio of the change of the electricity generation potential in that year compared to the remaining additional realisable mid-term potential until for a specific technology. The indicators included in this Communication are calculated in an average period of six or seven years[29]. In figure 2, we show the annual effectiveness indicator for the particular example of biogas in UK for the years until as well as the average endrgijos the period.

The interpretation of this indicator can be pursued as follows: In the following section, effectiveness indicators are shown for the sectors wind onshore and solar photovoltaic for the periodand solid biomass, biogas and small hydro for the period It must be clarified that in the subsequent section for atsknaujinantys periodover which the effectiveness indicator is analysed, a mixed policy is considered in Belgium, France, Italy, the Netherlands, Sweden and the UK.

Figure 4 and figure 6 show the generation cost of wind energy and the level of the supported prices in each country. These differences — as seen in Figures 4 and 6 — are not justified by the differences in generation costs. Generation costs are shown in a range based — in the case of wind — on the different bands of wind potential.