SPP FOR HOUSEHOLDS

The purpose of construction of SPP

Households can construct private SPP with the capacity up to 30 kW. When constructing a solar power plant in a private house, you sign up an agreement with the state, under which it is obliged to buy an excess of energy produced by your SPP. It costs 4-5 times more expensive than the consumption tariffs. Thus, for 4-6 years the cost of equipment is fully paid off.

Based on the above, the objectives of private SPP construction are as follows:

• free electricity consumption for own use;
• obtaining a source of profit, due to the sale of surplus electricity to DSOs (Oblenergo’s) by the "feed-in" tariff.

Main stages of the project execution:

1. Assessment of the roof / land area potential, identification of the SPP capacity
2. Selection of the equipment, SPP cost estimation
3. Supply of equipment
4. Construction of SPP
5. Opening of a current account
6. Registration of the notification application
7. Conclusion of the contract on electricity purchase and sale
8. Provision of services for arrangement of the metering center
9. Electricity sale by the "feed-in" tariff

"Feed-in" tariff shall be valid till the year 2030

Type Of SPP “Feed-In” Tariff Coefficient The Minimum Size Of The “Feed-In” Tariff EUR/kWh without VAT
SPP connected from 01.01.2017 till 31.12. 2019
SPP with capacity up to 30 kW for private households 3,36 0,18
SPP connected from 01.01.2020 till 31.12. 2024
SPP with capacity up to 30 kW for private households 3,02 0,16
SPP connected from 01.01.2025 till 31.12. 2029
SPP with capacity up to 30 kW for private households 2,69 0,14

 

Legislative incentives for private SPP

In contrast to the industrial SPPs with the capacity over 30 kW, the Law of Ukraine "On Electricity" provides the following additional incentives for the owners of private SPPs:
• private households can generate electricity from solar energy without the appropriate license;
• "feed-in" tariff rate depends on euro official exchange rate.

INDUSTRIAL SPP

The main objective of the project is to construct industrial SPP with the aim to sell all the volume of the produced electricity by the "feed-in" tariff to SE "Energorynok.

Industrial SPP are engineering complexes that serve to convert solar radiation into electrical energy. Such facilities are constructed on land areas and/or roofs/facades of companies, warehouses, shopping centers, agricultural enterprises and livestock complexes with the help of stationary modular structures, united in rows, arrays and fields.

Main stages of the project execution:

1. Identification of power plant capacity
2. Development of the business plan
3. Collection of the initial data for the project design
4. Development of a feasibility study of the power distribution chart
5. Obtaining the connection specification
6. Design work
7. Selection and supply of main equipment
8. Construction, installation and commissioning works
9. Regulatory cluster
- obtaining the license
- approval of the "feed-in" tariff
- organization of operation at the Wholesale Electricity Market.

"Feed-in" tariff shall be valid till the year 2030

Type of SPP “Feed-In” Tariff Coefficient The Minimum Size Of The “Feed-In” Tariff EUR/kWh without VAT
SPP connected from 01.01.2017 till 31.12. 2019
Ground-mounted SPP 2,79 0,18
Top-roof SPP 3,04 0,20
SPP connected from 01.01.2020 till 31.12. 2024
Ground-mounted SPP 2,51 0,16
Top-roof SPP 2,74 0,18
SPP connected from 01.01.2025 till 31.12. 2029
Ground-mounted SPP 2,23 0,14
Top-roof SPP 2,43 0,16

 

An example of calculation of investments in the "Feed-In" tariff for industrial SPP in 2017.

    Investment in a SPP with the capacity 1000 kW  900 000 EUR
    Annual profit from the electricity sale  180 000 EUR
    Total profit for the whole operating period of the SPP  4 500 000 EUR
    Net profit for the whole operating period  3 600 000 EUR

Terms of operation in the Wholesale Electricity Market (WEM)

Production and sales of electricity from solar energy is subject to obligatory licensing. The license for energy production, as well as the "feed-in" tariff for each specific SPP should be approved by the National Commission for the Regulation of Electricity and Utilities (NCREU).

Settlement of the payments for generated electricity

Payments for the produced electricity are carried by the WEM on daily basis giving the first priority to producers that use alternative energy sources without limitation of their capacity and the volume of electricity produced.