Feed-in tariff

Updated: 09.01.2019

Author: Ivana Naydenova

In the Republic of Macedonia, the electricity market operator is obliged to pay a fixed feed-in tariff to RES plant operators for the electricity generated from renewable energy sources. Electricity suppliers and retailers are obligated by the electricity market operator to buy the quantity of electricity produced by the preferential producers, corresponding to electricity demand of their consumers, understood as certain percentage of the total envisaged electricity demand of in FYR Macedonia.

Eligible technologies

In general, hydro-power plants, wind power plants and PV installations are eligible for the feed-in tariff. In the case of biogas and biomass, only thermal power plants may be granted support (art. 3 par. 1 FiT Decree).

Wind energy

Eligible if the capacity does not exceed 50 MW (art. 8 par. 1 FiT Decree).

Solar energy

Eligible if the capacity does not exceed 1 MW (art. 9 par. 1 FiT Decree).

Hydro-power

Eligible if the capacity does not exceed 10 MW (art. 7 par. 1 FiT Decree).

Biomass

Eligible if the capacity of the thermoelectric central on biomass does not exceed 3 MW (art. 10 par. 1 FiT Decree).

Amount

Wind energy

Power plants ≤ 0.050 MW €ct 8.9 per kWh (art. 8 par. 2 FiT Decree)

Solar energy

According to the installed capacity (art. 9 par. 2 FiT Decree):

≤ 0.050 MW

€ct 16 per kWh

> 0.050 MW

€ct 12 per kWh

Hydro-power

The feed-in tariff for hydro power plants is calculated pursuant to the table below (art. 7 par. 2 FiT Decree):

Block

Quantity of electricity delivered per block (kWh)

Feed-in tariff (€ct/kWh)

I

≤ 85,000

12.00

II

> 85,000 and ≤ 170,000

8.00

III

> 170,000 and ≤ 350,000

6.00

IV

> 350,000 and ≤ 700,000

5.00

V

> 700,000

4.50

Biomass

Thermo power plants on biomass
(with installed capacity less or equal to 3 MW and percentage share of the fossil fuels in the total energy values of the used fuels lower or equal to 15%): €ct 15.00 per kWh (art. 10 par. 5 FiT Decree)

If the percentage share of fossil fuels in total energy value of the fuel is between 15–30%, the reduced tariffs are calculated after the following formula (art. 10 par. 6 FiT Decree):

PT = PT0 * (1,15 – p*0,01)*0,01

where:

  • “PT” is the reduced feed-in tariff,
  • “PT0” is tariff depending on the installed capacity of power plant and
  • “p” is designated percentage share of fossil fuels, determined by Ministry of Economy.

Biogas

Thermo power plants on biogas
(with percentage share of the fossil fuels in the total energy values of the used fuels lower or equal to 10%) - €ct 18.00 per kWh (art. 11 par. 4 FiT Decree)

If the share of fossil fuels in total energy value of the fuel is between 10–20%, the reduced tariffs are calculated according to the following formula (art. 11 par. 5 FiT Decree).:

PT = PT0 * (1,10 – p*0,01) * 0,01

where:

  • “PT” is the reduced feed-in tariff,
  • “PT0” is tariff depending on the installed capacity of power plant and
  • “p” is designated percentage share of fossil fuels, determined by the Ministry of Economy. 

Addressees

Eligible party: The persons eligible for the purchase of electricity exported to the grid are the producers of electricity from renewable sources.

Obligated party: The electricity market operator is obliged to purchase the entire amount of electricity generated by renewable energy producers.

Procedure

Process flow

• To be eligible for the feed-in tariff, renewable energy producers have to obtain the status of a “preferential generator”, for which they must be enlisted in the register of RES power plants kept by the Energy Agency of the Republic of Macedonia (art. 3 par. 1 FiT Decree).

• The preferential generator, on the basis of metering performed by the electricity system operator to which the power plant is connected, shall invoice the electricity delivered in the calendar month to the electricity market operator and shall indicate the payment amount in MKD according to the average exchange rate determined by the Central Bank of the Republic of Macedonia on the last working day of the calendar month for which the invoice is prepared (art. 4 par. 4 FiT Decree).

Competent authority

Energy Regulatory Commission of the Republic of Macedonia (ERC)

Degression

The duration of feed-in tariffs differs for the various types of renewable. 

Wind energy

The duration of feed-in tariffs for wind power plants is 20 years (art. 8 par. 3 FiT Decree). 

Solar energy

The duration of feed-in tariffs for solar power plants is 15 years (art. 9 par. 3 FiT Decree).

Biogas

The duration of feed-in tariffs for thermoelectric centrals on biogas is 15 years (art. 11 par. 1 FiT Decree).

Hydro-power

The duration of feed-in tariffs for wind power plants is 20 years (art. 8 par. 3 FiT Decree).

Biomass

The duration of feed-in tariffs for thermoelectric centrals on biomass is 20 years (art. 10 par. 2 FiT Decree).

Cap

In accordance with the FiT Decree, the maximum installed capacity of renewable energy generators is defined for each technology separately.

Wind power plants

Total installed capacity eligible for application of preferential tariffs for purchase of electricity produced from wind power plants until 31 December 2025 should be 150 MW in accordance with the following dynamic (art. 2 Decision for total installed capacity of preferential generators for renewable energy sources):

  • Total installed capacity eligible for application of preferential tariffs for purchase of electricity produced from wind power plants until 31 December 2020 should be 100 MW.
  • Total installed capacity eligible for application of preferential tariffs for purchase of electricity produced from wind power plants until 31 December 2025 should be 150 MW.

PV (art. 3 Decision for total installed capacity of preferential generators for renewable energy sources)

  • Total installed capacity eligible for application of preferential tariffs for purchase of electricity produced from photovoltaic power plants lower and equal to 50 kW should be 4 MW.
  • Total installed capacity eligible for application of preferential tariffs for purchase of electricity produced from photovoltaic power plants with installed capacity higher than 50 kW, and lower and equal to 1 MW, should be 14 MW.

Biomass (art. 4 Decision for total installed capacity of preferential generators for renewable energy sources)

  • Total installed capacity eligible for application of preferential tariffs for purchase of electricity produced from power plant on biomass should be 10 MW.

Biogas (art. 5 Decision for total installed capacity of preferential generators for renewable energy sources)

  • Total installed capacity eligible for application of preferential tariffs for purchase of electricity produced from power plant on biogas should be 7 MW.

Eligibility period

Operators of PV installations are entitled to receive the feed-in tariff for a period of 15 years, the eligibility period of hydro and wind power plants amounts to 20 years (art. 7 par. 3, art. 8 par. 3, art. 9 par. 3 FiT Decree).

Macedonia

Further information

  • Energy Regulatory Commission of the Republic of Macedonia (ERC) – Регулаторна комисиja за енергетика на Република Македониja
  • +389 23233580
  • Commission website
  • erc(at)erc.org.mk
  • Ministry of Economy - Unit for Energy Efficiency and Renewable Energy – Министерство за економиja на Република Македониja - Секторот за енергетика
  • Violeta Keckarovska
  • +389 2 3093 531
  • Ministry website
  • info(at)economy.gov.mk
  • Energy Agency of Republic of Macedonia – Aгенциja за енергетика на Република Македониja
  • +389 2 3230300
  • Energy Agency website
  • ea(at)ea.gov.mk