MODERNISATION FUND (FM)
Supporting investment in new renewable electricity generation capacity for self-consumption
State aid – Ministry of Energy
Guide in public consultation
October 11th, 2022
Eligible beneficiaries
- SMEs (including start-ups)
- Large enterprises
- Autonomous regions
Budget
The total budget is €525,000,000 from the Modernisation Fund
The amount of State aid requested per MW installed will fall within the following maximum ceilings:
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- Wind energy – 650.000 Euro/MW
- Solar energy
- capacities up to 1 MW (inclusive) – 750.000 Euro/MW
- capacities above 1 MW (exclusive) – 425.000 Euro/MW
- Hydropower – 1.805.000 Euro/MW
- Geothermal energy – 1.690.000 Euro/MW
- Energy from biomass and biogas
- capacities up to 1 MW (inclusive) – 3.383.000 Euro/MW
- capacities above 1 MW (exclusive) – 1.692.000 Euro/MW
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The maximum amount of State aid is a maximum of 100% of the eligible expenditure, but the criterion for the differentiation will be the lowest amount of financial aid requested. The difference up to the total value of the project is covered by the beneficiary.
Type of investment
Building new energy production capacity where none has existed so far.
Attention! Projects that are proposed to replace older renewable energy generation capacity and projects that do not foresee a self-consumption of at least 70% of the electricity produced by the newly installed capacity are not eligible.
Eligible investments
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- Purchase of installations/equipment for the construction of new electricity generation capacity from renewable sources of wind, solar, hydro, geothermal, biomass or biogas
- Constructions that are the subject of a project to produce electricity from renewable sources of wind, solar, hydro, geothermal, biomass, or biogas.
No funding for energy storage capacity!
Selection criteria
Amount of State aid requested for the project from eligible expenditure/MW installed by the production (max 100 points), award of points:
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- Lowest amount of State aid requested (Euro/MW) 100 pct
- Highest amount of State aid requested (Euro/MW) 0 pct
To remember!
Self-consumption within the company or group of companies refers to energy produced and delivered locally, without transiting the transmission and distribution networks, and needs to represent at least 70% of the production of the financed renewable plant.
The capacity to be installed from renewable sources during the annual period of use must not be less than 1138 kwh/year for solar energy, 2100 kwh/year for wind energy, and 5256 kwh/year for other technologies.
The amount of State aid requested may not exceed EUR 20 million per enterprise, per investment project, equivalent in RON to the InforEuro exchange rate of the month preceding the opening of the competitive bidding procedure.
