A procedure to establish a green tariff and approve eligible generators has been developed by the National Electricity Regulation Commission, regulator of Ukraine’s electricity market.
The green tariff is a special (higher) price payable for electricity generated from alternative energy sources such as sun, wind, geothermal, small hydro (below 10MW), biomass and biogas.
The NERC will set the green tariff annually by no later than 20 January each year. It will be double the average rate at which electricity is sold on a competitive basis to the Wholesale Electricity Market.
The green tariff for 2009 is UAH 0.6624 (approximately €0.07) per kW/h. This is intended to cover generators’ operational costs and tax losses and also include an investment or profit component.
Any generator producing electricity from alternative energy sources who wants to sell power at the green tariff rate should apply to NERC including proof of its eligibility. NERC is obliged to consider applications within 30 days.
Legislation: Resolution of NERC “On Approval of Procedure for Adoption, Revision and Cancellation of the “Green” Tariff for Business Entities”.
