Successive rate to the feed-in tariff (biogas)

Updated: 18.12.2018

Author: Tim Sternkopf

The decree on the successive tariff for biogas plants regulates the extent of the financial support for biogas plants after their eligibility period for the regular feed-in tariff has ceased. Setting successive tariffs was enabled through the revision of the ÖSG in 2017 and is now regulated under §17 ÖSG 2017. The budget for the successive rate is managed by an additional grant of € 11.7 million per annum on average until 2021 which is not part of the general support volume for renewable energy sources outlined under § 23 (§12 ÖSG 2012 in conjunction with §1 NFTVO 2017).

Eligible technologies

Only biogas plants are entitled to receive the successive rate if the plant is not eligible for the regular feed-in tariff anymore and if certain criteria – inter alia on efficiency – are met (§17 ÖSG 2012 in conjunction with §1 NFTVO 2017)

Biogas

Eligible, unless the plant

 

  • was not certified as a green electricity plant in line with § 7 ÖSG 2012 before
  • is fuelled with animal meal, waste lye or sewage sludge
  • has a lower fuel-efficiency than 60%
  •  is fuelled with maize and wheat at a higher ratio than 60%
  • has no concept on fuel supply for the following 5 years in operation
  • is operated on the basis of solid biomass and has not implemented state-of-the-art technology to avoid fine dust emissions 
  • is operated on the basis of liquid biomass and does not comply with sustainability criteria for liquid biomass (§17 para. 2 ÖSG 2012).

 

 

 

Amount

The amount outlined under §3 NFTVO 2017 is only granted, if the application was submitted 1 October – 1 December 2017 and if the plant was certified as a ‘green electricity plant` before (Ökostromanlagenanerkennungsbescheid) (§1 subpar 1. NFTVO 2017): a) With a fuel efficiency rate of 60-62.5%: €ct 15.57 per kWh b) With a fuel efficiency rate of >62.5-65%: €ct 16.57per kWh c) With a fuel efficiency rate of >65-67.5%: €ct 17.57 per kWh d) With a fuel efficiency rate of >67.5%: €ct 18.57 per kWh However, the successive rate cannot be higher than the original amount granted in the framework of the feed-in tariff regulation for biogas plants, except if the plant’s efficiency level has been upgraded (§3 subpar. 2 NFTVO 2017)

Addressees

Entitled party. Addressees are operators of biogas plants for which are not eligible for the feed-in tariff anymore (‘end of obligation for the clearing and settlement agency to enter into a contract according to §12 ÖSG 2012`) and which fulfil the eligibility criteria presented in §17 ÖSG 2012).

Obligated party:

 

  • Clearing and Settlement Agency. The Clearing and Settlement Agency is obliged to the purchase of all electricity generated from plants based on biogas technology as long as funds are available (§ 17 para. 1 ÖSG 2012). The Clearing and Settlement Agency is a private enterprise that has a state licence and is responsible for the purchase and sale of electricity from renewable sources within the territory of Austria (§ 31 para. 1 ÖSG 2012).

 

 

 

Procedure

Process flow

General information: The application for the successive rate can only be submitted between 1 Oct and 31 Dec 2017. Furthermore, it has to be made sure that the contract for the regular feed-in tariff will cease within not more than 60 months. Applications will be assessed according to the plant’s fuel efficiency rate in 2016 and full load hours per year 2010-2016, irrespective of the date of application. The contract on the successive rate will be made for 36 months.

1. Documents for application

In order to apply, the plant operator has to submit a certification issued by an official auditor, a civilian technician or a generally sworn and court-certified expert or a technical office from the fields of electrical engineering, mechanical engineering, combustion technology or chemistry with the following contents: - Fuel efficiency rate (min. 60%) - Proof of full load hours 2010-2016 - Concept on expected fuel efficiency enhancement (§17 ÖSG 2017, otherwise §3 NFTVO) - Concept on resource management for the upcoming 5 years (according to §17 ÖSG 2012, there is no obligation to contract if maize and grains are used to more than 60%) - Concept on economical feasibility: The operator has to present a concept how the plant will be maintained after the funding period has ended - Information on remote controlling

2. Fill in the online-application form

First, a ticket has to be drawn under https://settlement.oem-ag.at/emweboemagvulcan/startApp.do in order to register on the application platform. Secondly, the applicant has to login with the ticket and has the opportunity to complete the information within 168 hours. Finally, the applicant has to fill in (technical) information on the plant which the tariff is applied for (e.g. bottleneck capacity, level of self-supply/rate of feed-in, fuel efficiency rate, etc.).

3. Submit the application

After having completed the information, the online application can be submitted and the applicant receives a confirmation of its receipt via e-mail.

Further information can be found here: www.oem-ag.at/fileadmin/user_upload/Dokumente/rohstoffzuschlag/2017Leitfaden_Nachfolgetarif_Biogas.pdf

Competent authority

Ministry of Science, Research and Economy (BMWfW) - now: Ministry of Digital and Economic Affairs (BMDW)

Distribution of costs

Consumers

The costs of the support system are borne by the end users (§§ 44, 45 and 48 ÖSG 2012).

Distribution mechanism

1. Fixed green electricity rate (Ökostrompauschale). On the one hand, the costs are passed on to the consumers, who have to pay a fixed green electricity rate. The rate is redefined by the Minister for Science, Research and Economy every three years through a regulation on fixed charges for electricity from renewable energy sources. (§ 45 para. 1 ÖSG 2012). Consumers – grid operator. The grid operators charge all users (large-scale consumers, private households) a fixed rate (Ökostrompauschale), which differs according to the level of consumption, on top of the grid use fee (§ 45 para. 1 ÖSG 2012).

2. Fixed support fee (Ökostrompauschale)

For 2015 - 2017, the support fee is as follows (§ 45 para. 2 ÖSG 2012): The fixed support fee (‘Ökostrompauschale’) is determined by the Minister for Science, Research and Economy for a period of three years (§ 45 para. 2 ÖSG 2012). The regulation on fixed charges for electricity from renewable energy sources sets out the fixed fee for 2015-2017 (‘Regulation on Fixed Charges’) as follows:

 

  •  For users connected to voltage levels 1 to 4: € 90,287
  •  For users connected to voltage level 5: € 13,414
  •  For users connected to voltage level 6: € 825
  •  For users connected to voltage level 7: € 28

Grid operator – Clearing and Settlement Agency. The grid operator is obliged to transfer the income from the fixed green electricity rate to the Clearing and Settlement Agency every quarter (§ 47 para. 1 ÖSG 2012).

3. Additional compensatory charge (Ökostromförderbeitrag). To cover the additional costs of the Clearing and Settlement Agency, the consumers have to pay an additional compensatory charge (§ 48 para. 1 and 2 ÖSG 2012). The fees amount up to 26.8% of the grid utilisation and network loss charge (§§ 1 Compensatory Charge Regulation in accordance with 48 para. 1 and 2 ÖSG 2012).

4. Revenues from sales. On the other hand, the feed-in tariff is financed from the revenues made by the Clearing and Settlement Agency from the sale of electricity from renewable sources to the electricity traders. The revenue results from the difference between the market price and the higher price electricity traders have to pay according to §37 in conjunction with § 40 ÖSG 2012. Electricity traders may pass on to the final consumers the difference between the price they pay and the market price they charge.

5. Other revenues. Other costs incurred by the Clearing and Settlement Agency, like administrative costs, investments related to the execution of its tasks (e.g. reserve capacity costs), the costs of support for new technologies and energy efficiency programmes, or bonus payments for renewable energy plants fuelled by liquid biomass or biogas (§ 21 ÖSG 2012), are recovered through the following payments (§ 42 para. 2 ÖSG 2012):

 

  •  income earned from administrative fines
  •  other income
  •  income from interest payments.

 

 

 

Austria

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