The Ministry of Energy, Tourism and Digital Agenda has announced through a press release the update of the remuneration to renewables, cogeneration and waste for the period between 2017 and 2020. This update will involve an increase of about 600 million euros per year.
As announced by the Ministry of Energy last December, the BOE (Order ETU / 130/2017, dated 17 February) today has published an update on the remuneration of facilities producing electricity from renewable energy sources, Cogeneration and waste for the second regulatory half-year running from 2017 through 2019. According to the Ministry of Energy, this new remuneration will ensure a reasonable return of 7.4% to facilities.
Article 14.4 of Law 24/2013, of December 26, and article 20 of Royal Decree 413/2014, of June 6, establish that at the end of each regulatory period, which will run for six years, the remuneration parameters – except for the regulatory service life and the standard value of the initial investment- shall be reviewed for the so-called type installations, while at the end of each three-year regulatory period (current time), the revenue estimates for the sale of energy will be reviewed for the remainder of the regulatory period.
The increase in the remuneration of renewables will not impact tolls
In the review of market price worked out for the next three years, the futures market price for the period has been taken into consideration. As for the market price for the second regulatory period, it will be reviewed in 2020 as established by the regulations.
The statement also notes that the increase in pay will not have an impact on the increase in tolls.
Thus, as of January 1, 2017, this update of the standard income from the sale of energy in the market as well as directly related parameters, refers to all type installations approved so far, regardless of the order through which they were approved.
Installations excluded from remuneration
This update does not relate to installations that have exceeded their regulatory life before January 1, 2017 and the type installations that are known to have no facility assigned to it within its regulatory life.
Likewise, treatment facilities for pig slurry are excluded since the Supreme Court quashed the remuneration parameters. Also excluded are wind and photovoltaic installations in the electrical systems of non-mainland territories because no specific auction has yet been conducted to determine their remuneration.