4. What are the policies
with respect to interconnection of generation to the transmission grid?
No special license is required for connection of Electricity Producers to
the electricity network. However, under the EA there is provision for payment
of a connection fee in an amount approved by SCEWR and determined in the
connection agreement between the Transmission Enterprise/Distribution Company
and the Producer, provided that:
(i)
there is a valid connection agreement between the parties;
(ii)
all the terms for the connection are fulfilled by the Producer; and
(iii)
the electric facilities of the Producer comply with technical rules and safety
requirements.
Other than the connection fee, there are no other system charges, save
for any charges provided for in contractual arrangements.
It is an obligation of the Transmission Enterprise/Distribution Company
to construct the extension connecting the new facility to the network, which
extension becomes its property.
5. Does the
governmental policy (or legislation) foster power generation based on
alternative energy sources such as renewable energies or combined heat and power?
The EA settles a green certificate mechanism for
promotion of the environmental power generation. "Green Certificate"
is defined as a document of a fixed term of validity, certifying the generation
of a particular quantity of electricity from renewable energy sources or by a
combined method, stating the date and place of the generation, the generating
capacity and the owner thereof; any such certificate shall be transferable
separately from the physical electricity whereof the generation it certifies.
From the date of introduction of this system for
issuance of and trade with Green Certificates the Minister of Energy and Energy
Resources shall establish minimum mandatory quotas for generation of
electricity from renewable sources as a percentage of the total annual
generation of electricity by each Producer for a period of ten years.
Then each Producer shall be considered to have
fulfilled this obligation upon submission to SCEWR of Green Certificates
indicating the quantity of electricity from renewable energy sources satisfying
the obligation of the said producer. These certificates may be:
- issued to the Producer; and/or
- purchased from another electricity producer.
The EA stipulates that the forms, the contents,
the terms and the procedures for issuance of certificates of origin and for
issuance of and trade with Green Certificates shall be regulated by an
Ordinance of the Minister of Energy and Energy Resources. So far this Ordinance
is not issued.
The EA also envisages special public registers
to be kept by SCEWR in respect to:
- the Certificates of Origin as issued,
recording therein the holder and the generating capacity, the quantities of
electricity for which the certificate was issued, and the period of generation;
- the Green Certificates as issued, recording
therein the holder and the generating capacity, the quantities of electricity
for which the certificate is issued, and the period of generation;
- the transactions with Green Certificates,
recording therein the holder of the Green Certificate, the buyer, and the
quantity of electricity subject to the underlying transaction;
The
entry of the sale/purchase transaction
in the register shall be considered a condition for its effectiveness.
The issuance of certificates shall require fees
payment to SCEWR.