New procedure for the issuance of a guarantee of origin of energy from renewable sources

A new Ordinance regarding the guarantee of origin of energy from renewable energy sources has been adopted and will take effect from 1 January 2012 (except with regards to the ability to file applications and documents electronically, which shall take effect as of 1 January 2013). Its adoption has been provided for in the new Energy from Renewable Sources Act effective as of 3 May 2011.

The new Ordinance implements EU requirements set out in Directive 2009/28/EC of the European Parliament and of the Council of 23 April 2009 on the promotion of the use of energy from renewable sources and amending and subsequently repealing Directives 2001/77/EC and 2003/30/EC.

The guarantee of origin replaces the certificate of origin of energy from renewable energy sources, which is currently issued to producers. The key points of the new procedure are as follows:

• Competent authority: the competent authority that will issue the guarantee of origin shall be the newly established Agency for Sustainable Energy Development (as legal successor of the Energy Efficiency Agency), in comparison to the certificates of origin, which have been issued by the State Energy and Water Regulatory Commission (“SEWRC”).
• Term: the producer may apply for the issuance of a guarantee of origin for the energy produced for one or more calendar months; the application should be filed after the expiry of the respective month but not later then 10 (ten) months after the month during which the energy was produced. At present, the certificate of origin is issued on a bi-annual (for producers of capacity exceeding 1 MW) or annual (for producers of capacity less than 1 MW) basis.
• Quantity: one guarantee shall be issued for 1 MWh of energy produced during a calendar month. Some rules provide for the transferring of quantities to other periods in cases where during a one-month period the quantity of 1 MWh was exceeded or not reached. No similar requirements regarding the quantity of energy exist in the current legislation.
• Validity: the term of validity of a guarantee of origin shall be 12 (twelve) calendar months after the month during which the respective energy unit was produced.
• Transfer of the guarantee and payment of the preferential price: the preferential price for energy produced from renewable sources, determined by SEWRC, shall be due as of the date of the transferring of the guarantee of origin to the public supplier or to the end supplier. The transfer of the guarantee of origin shall also be registered with the Agency for Sustainable Energy Development.
• Recognition of guarantees of origin: a procedure for recognising guarantees of origin issued by competent authorities in other Member States is also provided.

Regarding the energy produced in the period before the newly adopted Ordinance on the guarantees of origin enters into force, i.e. for the energy produced until 31 December 2011, producers should file an application before SEWRC until 29 February 2012 for the issuance of a certificate of origin.

Law: new Ordinance on the Terms and the Order for the Issuance, Transfer, Canceling and Recognition of the Guarantees of Origin of Energy from Renewable Sources, issued by the Minister of Economics, Energy and Tourism