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Renewable Energy Support Schemes

Renewable Energy Support Schemes. Jana Szomolányiová SEVEn Praha, November 1, 2002. Results of project: Effective application of combined heat and power at the liberalized energy markets in the Czech Republic.

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Renewable Energy Support Schemes

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  1. Renewable Energy Support Schemes Jana Szomolányiová SEVEn Praha, November 1, 2002

  2. Results of project: Effective application of combined heat and power at the liberalized energy markets in the Czech Republic Prepared by SEVEn for the Heat producers’ association and company TEDOM and submitted to the Czech Energy Regulatory Office

  3. Feed-in tariffs Guaranteed buy- out Guaranteed minimum feed-in (buy-out) tariffs Quota & certificates Quota (%) for renewable energy production Green tradable certificates Renewable Energy (RE) Support Schemes

  4. RE schemes: Quota vs. tariff

  5. Env. taxes Aimed to internalize externalities Equal treatment of energy savings and RE production Slow political development (competitiveness obstacle etc.), presently zero or low rates to support RE RE schemes Aimed to financial support substantial to increase RE production Separation of energy efficiency, classical energy and renewable energy markets Higher political acceptability - possibility of fast support to RE RE schemes or taxes to support renewables? Both: polluter pays principle and revenue neutrality possible

  6. 4000 3500 3000 2500 RE 2000 Saved 1500 1000 500 0 0 100 200 300 400 500 600 Investment costs:RE vs. energy savings (CR 1999) Investment costs [Kc/GJ] Produced/saved energy [PJ]

  7. Similarities of RE schemes • Moderate increase in average energy prices • Compatible with environmental taxes • No competition among RE producers, other energy producers and energy savings • Diversification of support among different sources possible • Applicable at EU level

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