Bosnia and Herzegovina, RS to abolish guaranteed electricity purchase price for large producers

, SEE Energy News

According to the decision of the Government of Republic of Srpska (RS), only small electricity producers with installed capacity of up to 150 kW, biogas and biomass power plants with installed capacity of up to 500 kW and rooftop solar systems will have the right to a guaranteed purchase price of electricity.

Larger producers will have to sell electricity on the free market or to apply for premiums support scheme. New Law on Renewable Energy, which entered in force in March 2022, allows generation facilities of installed capacity of up to 10 MW to apply for premiums.

The Energy Regulatory Commission of the Republic of Srpska (RERS) also increased guaranteed purchase price of electricity, but its is still far lower than the market reference price. Market premiums are determined as the difference between the guaranteed purchase price at the moment of signing the contract and the market reference price.

The decision will become valid as of 1 January 2023.