Greece was the first among other European countries that embodied the term of “Energy Community”.
- The framework for Energy Communities was specified under Law 4513/2018. Energy communities are a form of investment in Renewable Energy Sources (RES), in which the participation of local associations and citizens are a prerequisite. In an Energy Community, it is possible to participate as a natural person, as well as a legal entity including local governmental organizations. The framework for Energy Communities targets in enhancing income and entrepreneurship of the local society, aiming to strengthen the end-user’s role, as well as broadening the adoption of Renewable Energy projects from local communities.
- The framework for Energy Communities includes favorable terms and incentives for the Renewable Energy project, including an exemption for the tender process in order to obtain a tariff, and grant of a feed-in premium tariff of 65,0 €/MWh. In addition, Energy Communities receive prioritization over the licensing procedure.
- Concurrently, there are certain requirements imposed for Energy Communities, including limitation on the project’s installed capacity at 6MW per Wind Park and 1MW per Solar Park, in order to obtain an exemption from the tariff tender process. Moreover, a minimum participation of 5 members is required for an Energy Community, of which at least 51% should directly relate with the region where the Energy Community is located (either a local citizen or local property owner).
- In case a local authority participates in the Energy Community, a minimum of 15 members is required instead. Finally, existing members of an Energy Community cannot participate in another Energy Community of the same region.
This presentation serves as an overview of a prospective renewable energy project in Greece (Project).
- The Project refers to the development and operation of a solar energy park in West Greece and shall be developed under the framework of Energy Communities in Greece.
- Renewables in Greece have been attracting significant interest from investors –both domestic and international– due to providing high investment returns and bearing minimum risks.
- The specific Project represents a unique opportunity to invest in an energy project in Greece, providing the additional incentives for renewable Energy Communities in Greece, including a guaranteed tariff of 65,00 €/MWh. The implementation of the Project requires an equity injection of €0,5m in order to finance the construction costs of the Project. The Investor’s returns shall be secured through the Project’s dividends and available cash flows.