Energy Ministry: Bill regulating energy storage units
License for battery energy storage set at 25 years; pump storage at 35 years. New regulations allow energy storage units on High Productivity Land
A second “mini” draft law on energy storage is included in the bill for the simplification of the second phase of the RES licensing process. The multi-bill which was introduced by the Environment and Energy Ministry for discussion and voting in Parliament, late last night.
One regulated issue is that of Utility Charges (SGI) for electricity storage stations and hybrid RES power generation systems. In particular, the unit charges for the payment of the SGI will relate exclusively to the part of the electricity consumed by the specific stations, which is not part of the absorbed electricity for filling the storage systems and its return to the grid. The charges will be calculated according to consumer category.
Greenlighting storage units for Administrators
Also, the ownership status of energy storage facilities is regulated by the Transmission System Operators (IPTO, HEDNO). As a general rule, electricity storage activity is a competitive activity and therefore Operators are prohibited from owning, developing, managing or operating energy storage facilities.
Exceptionally and with the approval of the National Regulatory Authority for Energy (RAE), operators are advised to be able to maintain such facilities only if they are fully integrated network components, and if it has been assessed that this need cannot be satisfied by independent providers. Such deviations should be notified to the European Commission. In addition, RAE will assess this need, at regular intervals, for the purpose of phasing out the relevant activities of Administrators.
Licensing framework
The general licensing framework also provides that Storage Stations with a nominal power of less than 1 MW are exempted from the obligation to obtain a storage permit. The electricity storage permit will be granted by RAE for a period of up to 25 years and can be extended for an equal period of time, under specific terms and conditions. Especially for pumped storage technology storage stations, the storage permit will be granted for a period of up to 35 years.
Creating a Register of storage units
In this regard, RAE envisages the observance of the Electronic Register of Electricity Storage, through which the electricity storage licenses will be issued and which will also register relevant information, applications, procedures and details, as specified.
Storage units on High Productivity Land
In addition, a provision is foreseen that allows the installation of photovoltaic stations in high-productivity agricultural land in order to allow the integration of energy storage stations, for the more efficient use of RES production. However, the same restrictions remain for their installation.
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