Serbia thinks over change in tariff incentives for energy generated from renewable sources

16. November 2012. / News Serbia Energy

Energy Minister Zorana Mihailovic said that for the time being there will be no changes in incentives (feed-in tariffs) for renewable energy, but she announced that they would still be reviewed.

“We will review those tariffs, given the economic crisis we are in, and bearing in mind the amount of these tariffs,” Mihajlovic told reporters after laying the foundation stone of two small hydropower plants on Bistrica River in the municipality of Nova Varos.

It’s something we just started working on, said the Minister, adding that she would soon be able to say more about it.

Mihajlovic said that the Ministry will always support investments in renewable energy and reminded that a audit of permits for renewable energy is on going.

The aim of the audit is to make investments more efficient and help us get new energy facilities and more electricity that Serbia needs sooner, Mihailovic said.

The Minister stated that about 100 permits and 500 approvals for the construction of power plants with a total capacity of 300 megawatts has been issued in six years, but these permits are not translated into reality and not enough power plants have been made and not enough electricity from renewable sources is being produced.

This is the main reason why we are auditing energy permits, Mihailovic said, adding that the ministry, in order to facilitate obtaining the necessary documents to potential investors, would enable them to obtain all necessary permits in the Ministry itself.

She also announced that by the end of this month, the Ministry will publish the plan of priority investment in the energy sector of Serbia and pointed out that the goal is to take advantage of all possible sources of renewable energy, especially biomass, where we have enormous potential, but also to adapt heating plants to use environmentally friendly fuel instead crude oil, gas and coal.

Heating plants would thus be 30 to 40 percent more efficient, and produce both heat and electricity.

She said that a large number of small hydropower plants with total capacity of 455 megawatts could be built on the water flows in Serbia, which is equal to the consumption of Belgrade in one month period.

Only 10 percent of this potential has been utilized, said Mihailovic and emphasized that if we used this natural resourcewe would not be importing electricity in November and December.

Small hydro power plants “Rečica” and “Crkvine” on Bistrica River will annually produce about 11 million kilowatt – hours of electricity, and they should be put into operation in March next year when they will be able to supply electricity to about 2,400 households.

Source Serbia Energy Magazine

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