Producers of energy with an installed capacity of 125 MW are regaining the market
According to a recently issued Law 122 on 3rd of July 20151, regarding the new measures in the electricity field (hereinafter “Law 122/2015”) is again changing the possibility to enter on the market for big producers of energy, which develop an electricity power producing capacities of 125 MW or more, up to 250 MW (hereinafter “Big Producers”), do not need a separate individual approval of the European Commission, if attested by the Regulatory Authority in the field of energy.
In 2012, an Emergency Ordinance of the Government2 was issued according to the European Commission Decision 3, obliging the Big Producers to obtain separately from the European Commission an individual approval, after being licensed in Romania, for benefiting of the support scheme for the time-frame given in Law no. 220/2008 on the support scheme(maximum 15 years).
Therefore, starting with the application of Law no. 122/2015, respectively 6th of July 2015, for the Big Producers of energy is establishing that no separate approval is necessary any longer, and for the future accredited (licensed) producers of energy and for previously accredited (licensed) producers.
Attention: The Big Producers which were accredited at the time of issuance of the EOG no. 88/2011. For the Big Producers which obtained a different number of GC, other than the one provided by Law no. 220/2008, in article 6, because of the late given approval of the European Commission, shall be reimbursed within 24 months from the application of Law no. 122/2015, respectively latest on 05.07.2017.
Also, another point to be considered is the fact that the support scheme will not be applied to green energy producers which sell with negative prices.
The reimbursement is done based on a normative resolution of the Regulatory Authority in the field of Energy, which shall be issued in a term of 90 days from the application of Law no. 122/2015, respectively 05.09.2015.
Furthermore, Law no. 122/2015 is establishing a term of 120 days from its application for the Regulatory Authority to elaborate a mechanism of opening the promotion scheme of GCs for the producers of electricity from renewable sources from other Member States of the European Union.
Concluding with another obligation of the Regulatory Authority to establish a mechanism for a support scheme within 120 days from the publication of Law no. 122/2015 for small producers of energy from renewable sources with an installed capacity of up to 500kW.
Attention: The Law no. 122/2015 will be fully applicable after the Regulatory Authority shall implement the normative rulings as afore shown, within the terms given.
Other provisions within the Law no. 122/2015.
On another hand, Law no. 122/2015 approaches also some fiscal issues for all suppliers and producers obliged to purchase GCs. According to the amendments approved, the producers and suppliers which are obliged to purchase an annual quota of GCs’ have now the obligation to purchase the referring quota quarterly.
Attention: In case the quarterly quota does not fulfill at least 90% of the proportional annual quota, sanctions shall be applied accordingly. Therefore, the sanction given according to Law no. 220/2008 for not fulfilling the mandatory quota of purchase of GCs, per quarter, shall be a fine equal with the missing GCs (multiplied with the 110 Euros fine, as per art. 12 (2) of Law no. 220/2008).
Together with this modification anther had to be inserted, regarding the possibility to deduce from calculation of the mandatory quota, the quota the energy used for the own consumption and, together with the quarterly and annual estimation, to announce also the estimation of the quantities of energy for which they have the obligation to purchase GC.
Author: Mag. Raluca Marinescu
For further information on this aspect and any other questions please feel free to contact: Mag. Raluca Marinescu L.L.M. firstname.lastname@example.org.
1. Law no. 122/03.06.2015 for approving some measures in the promoting of renewable energy production and for amending and completion of some normative acts, published in the Official Gazette of Romania, Part I, no.
2. Emergency Ordinance of the Government no. 88/2011 for amending Law no. 220/2008 on the support scheme of renewable energy for energy producers (herinafter „EOG no. 88/2011”) ↩
3. State Aid SA. 33134 (2011 / N) – Romania – “Green certificates for promoting electricity from renewable sources” by authorizing the aid scheme as a result of relevant Community provisions according to which the scheme is consider to support state aid or likely to be aid, and a correlation of Law no. 220/2008 for establishing the system for promoting energy from renewable sources, republished, as amended and supplemented, with relevant Community legislation, including the above-mentioned decision↩