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The feed-in-tariff can be more efficient than the green certificates scheme

29 August 2014
Biomass
energynomics

ANRE published on its website the “Methodology for setting regulated selling prices and trading regimes of electricity produced from renewable sources of energy in power plants with installed powers less than 500kW per unit”. One of the essential items of the regulation is that by which suppliers will be required to take over such energy produced in the network and the (small) producer will be able to benefit from predictable revenues from electricity delivered. We discussed about the impact that the introduction of the feed-in-tariff will have on the photovoltaic sector with Mr. Mircea Pătrășcoiu, General Manager at Electrica Furnizare. He answered energynomics.ro questions, with the specification that the company, a supplier of last resort, complies with and applies the legislation in force, not being a decision-maker in the national energy policy or with competence of macroeconomic analysis.

Do you believe the introduction of the feed-in-tariff will boost the electricity market in Romania?

In the specialized literature, the feed-in-tariff system is considered as having the greatest efficiency among all mechanisms for supporting the development of energy from renewable sources. Therefore, the effect of introducing such a system will boost even more quickly and will be sustainable and affordable in relation to the support scheme by green certificates.

Are measures currently in public debate clear enough, from Electrica Furnizare’s viewpoint?

At this moment, measures are in public debate and we plan to formulate observations to aspects we will consider unclear. It is our opinion that, by this limitation of the capacity to 500 kW, it is considered a potential progressive replacement of the promotion system by green certificates with FIT.

What does the obligation to acquire electricity by these products involve for the supplier?

Although the unpredictability of production technologies has an impact on suppliers’ costs, the obligation of acquisition through the FIT system can turn into an opportunity for the supplier to extend and diversify its acquisition portfolio. Thus, customers who value ecology are able to get more electricity from renewable sources.

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