After many prior announcements, the “Photovoltaics for Businesses” program is now launching. It will provide support to companies to install self-generation systems, with or without a storage battery.
The initiative aims to help each beneficiary business reduce the electricity it consumes from the grid by at least 35% through its photovoltaic system’s generation. As a result, the companies accepted into the program will reduce their emissions by at least 30%.
As the program gets underway, publication of the Guide is imminent, giving interested parties time to prepare their applications. The Ministerial Decision that will officially “activate” the program will follow immediately, marking the start of the application period.
The program will have a budget of 160 million euros, which is expected to allow more than 3.000 businesses across the country to receive subsidies. The total budget has also been allocated among businesses of different sizes.
This indicative allocation provides for 60 million euros to fund very small and small businesses, 60 million euros for SMEs, and 40 million euros to subsidize large businesses. Beneficiaries will be selected based on eligibility criteria.
With or without a battery
The program is administered by the Ministry of Environment and Energy, which is responsible for designing the relevant procedures, selecting beneficiaries, and conducting systematic and sample-based audits to verify compliance with the initiative’s terms and conditions. The implementing body is TAIPED, specifically its Strategic Contracts Unit.
Among other tasks, the Fund will receive funding applications and review and evaluate them. It will also examine any appeals that may be submitted and make recommendations for issuing decisions confirming project completion.
The program will subsidize both “simple” photovoltaic systems (that is, systems without a battery) and solar systems combined with a storage unit. In all cases, these systems will not be connected to the grid or the transmission system (zero feed-in), meaning their output will be used directly to meet businesses’ energy needs.
Subsidy rates
Therefore, in the case of “simple” photovoltaic systems, the “green” kilowatt-hours must be consumed immediately (at the same time they are generated). For systems paired with a battery, the photovoltaic system’s output can instead be stored to meet the business’s electricity needs at other times within the 24-hour period.
To be eligible, a photovoltaic system must have a capacity of up to 2 MW. As for the battery, it must have a minimum installed storage capacity of one hour, and the maximum eligible capacity to be funded is set at 2 hours.
The subsidy rate for installing the photovoltaic system will be up to 20%, and for the battery, up to 40%. The funding cap for the solar system is set at 110.000 euros per MW, and at 160.000 euros per MW for the battery. The total amount of support may not exceed 15 million euros per beneficiary.
Evaluation criteria
Three weighted criteria will be used to select beneficiaries:
- The extent to which energy costs burden the operating costs of the company applying to join the program.
- The amount of funding requested by each company, compared with the total cost (based on standard costs).
- The amount of funding requested by the applicant, compared with the reduction in energy bills resulting from the installation of the photovoltaic system (and storage unit).
Source: Energy Press
