Renewable energy sector gets 100 million euro worth of state aid

Under a government resolution, power and heat producers and administrative - territorial units / intracommunity development units that produce electricity from renewable sources have a total of 100.6 million euro worth of state aid allocated for the next 4 years.

The implementation of the state aid scheme is aimed at increasing the use of less common energy sources by growing the share of renewable energy of the total primary energy consumption and cutting carbon emissions by partly replacing fossil fuels (coal and gas), the government said in a release.

The carrying out of these projects is intended to increase the installed biomass, biogas and geothermal power and heat capacity by 60 MW.

"Non-reimbursable European funds from the European Regional Development Fund represent 85 pct of the total budget allocation to the scheme and 15 pct come from public co-financing provided from the budget of the Ministry of Regional Development, Public Administration and European Funds and from local budgets," the release said.

The maximum aid per investment project is 15 ml euro, and the maximum number of aid recipients under the scheme is estimated at 40. The scheme is applicable until December 31, 2020.

"The state aid scheme addresses large, medium and small-sized enterprises, microenterprises, start-ups included, whose accounts have not been approved and which have the production of electricity / heat as per NACE code Division 35 'Electricity, gas, steam and air conditioning supply' set forth in their articles of incorporation, and administrative-territorial units / administrative- territorial subdivisions / intercommunity development associations," the release says.

The state aid allocations are intended for the following investment types: setting up or upgrading of biomass and biogas power and/or heat production capacities; setting up or upgrading geothermal heat production capacities.

The state aid scheme has been designed according to the Large Infrastructure Operational Program 2014 - 2020 and contributes to the implementation of specific Community and national regulations, as well as of the national strategies and policies, the release also says.