energy market

Solar power will be available for every Ukrainian

09.07.2012 |

Parliament passes bill that will allow private households to sell solar electricity to the grid, as well as provide a Feed-in-tariff for biogas power generating plants.

Parliament passed the bill 10183 On Amendments to the Law of Ukraine On Electricity (regarding further stimulus of power production from alternative energy sources) at the first reading. This bill intends to oblige utility companies to buy surplus electricity from households produced by rooftop solar modules with a capacity up to 16 kW. At the same time, households do not have to obtain a license for producing electricity.Meanwhile, the rates for small householders rooftop systems with a capacity of less than 16 kW will be set at the highest level at a ratio of 4.0, as opposed to ground-mounted, which is scheduled to decrease from 4.8 to 3.5.

By installing solar panels with a capacity up to 16 kW, it is possible to be fully equipped with electricity and sell the surplus to the grid while receiving a very good income. In this case, Ukraine will take the path of Germany, which has achieved such great results in alternative power generation due to a good Feed-in-tariff for companies as well as for private households that have sold the surplus to the grid and profited by it. At the same time, people have fully provided themselves with electricity and returned their investments into installations very fast, said Vitaly Kovach, Director of the Renewable Energy Association Alternative.

The bill intends to introduce a Feed-in-tariff for electricity produced from biogas and solid domestic wastes (SDW) starting from January 1, 2013. Pursuant to the bill, the ratio of Feed-in-tariff for electricity from biogas production will be 2.7, from SDW 3.0. SDW power plants should follow the standards of pollutant emissions.

This bill is crucial. It creates incentives for stakeholders to make investments in alternative power generation development, which is deficient now. Ukraine is energy dependent on other countries. That is why the only way for us is to develop this sector, commented MP Yuriy Miroshnichenko, one of the bills authors.

In addition, the construction of wind farms and solar power plants, as well as announced projects on bio- and a hydro-energy, are also major objects of foreign investments.

This is a huge potential for investments: we expect EUR 1 billion of investments this year, predicts Mykola Pashkevych, chairman of the National Agency of Ukraine for Ensuring Efficient Use of Energy Resources.

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