Overview of biomethane markets and regulations ... - Green Gas Grids

Programme Competitiveness and Economic Growth. The subsidy margins are
regulated by the Structural Fund rules as well as by state aid scheme. It has to be
noted that investment aids such as governmental grants may result in a reduction
of feed-in tariffs.
Support is also provided to the development by a beneficial tax policy. Renewable
energies are subject to several tax reductions and exemption respectively, e.g.
n Tax exemption for biogenic substances used as fuel such
as biogas and biomethane
n Tax exemption for electricity produced from renewable
energies when delivered directly to the final consumer,
or consumed by legal entity or natural person, who
produced the electricity sourced from biomass
In accordance with Act No. 309/2009 Coll. the investment costs for grid connection
are subject to a cost split between the parties, the biomethane producer and the
grid operator. For grid connection of distances of less than four kilometres between
plant and grid connection point, a share of 25 % of these costs is borne by the
biomethane plant owner while 75 % are borne by the grid operator. For distances
longer than four kilometres the biomethane producer takes all costs. This regulation
is similar to German treatment and intends to increase planning and investment
reliability for the biomethane plant owner, by at the same time encouraging project
developers to choose a suitable place of location close to the existing gas
infrastructure.
Certification
In Slovakia there is a certification system for biomethane in place, but it has not
yet been implemented. The certificates of origins and quantity attestations are the
basis for biomethane clients for claiming the feed-in tariffs according to the Act
309/2009 and the relevant amendments. The certificates of origin are issued by
Regulatory Office of Network Industries (RONI) and contain information concerning
the biomethane producer, location of the biomethane facility, the point of
connection of the facility to the distribution system and the types and quantity of
biomass used for biogas production as well as information about of the specific
production costs.
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