Leg. Framework of Electricity Generation from Wind Power

Report on the Legal Framework of Electricity Generation from Wind Power in Serbia

The scope of this report – provided by IKRP i partneri d.o.o. Beograd (member of Rokas international network) – is to present the legal regime framework related to the generation of electricity from wind power in the Republic of Serbia, some of them follow below

This paper provides chronology of steps in energy-related project that each investor is required to pass through, from obtaining a licence, construction of wind farm, to electricity generation and connection to the grid. Due to the
ongoing reform of Energy Sector in Serbia, further changes and improvements in respective regulations are possible.

By ratification of the Energy Community Treaty (Official Gazette of the Republic of Serbia, No. 62/06) Republic of Serbia has accepted the obligations stipulated in Directive 2001/77/EC on, among other, the promotion of electricity
generated from renewable energy sources.

Therefore, as the revision of legal framework in the field of renewable energy sources in Serbia (hereinafter: RES) was required, the new Energy Law (Official Gazette of the Republic of Serbia, No. 57/11, 80/11-amendment,
93/2012 and 124/2012) has been adopted and entered into force on 9 August 2011. The Energy Law (hereinafter: the Law) enforces the role of Energy Agency of Republic of Serbia, intends to increase the security of supply, to
simplify procedures for investment projects, to increase the energy efficiency issues and also the growth of investments into the RES. In particular, the Law provides a definition of privileged producer and regulates “take over of electricity” obligation. However, the government was in significant delay in enacting of supporting RES regulations/by-laws, for example, regardless of its obligation stipulated in Article 202 of the Law, it has not yet
appointed Public Supplier, an entity to be in charge of the mandatory take-off/purchase of electricity from privileged producers under a feed-in tariff system and for a prescribed period of time (so, this is still performed by a state
owned company JP EPS, pursuant to article 22 of the Decree on Incentive Measures for Electricity Production from Renewable Energy Sources and CHP (Official Gazette of the Republic of Serbia No. 8/2013)) (hereinafter: Feed-in

Regardless of the aforementioned, the last few years have seen considerable effort related to improvement of Energy Sector and RES projects practices in the Republic of Serbia. At the time of this report, apart from the
Methodology of public energy supply and Rules on energy market (which are in a draft form and expected to be adopted in 2013), all other requisite regulations and by-laws, rules and methodologies have been adopted. The key
elements of the market reforms in Serbian Energy Sector is the separation of network of transfer and distribution of energy from production, trade and supply activities, so the formation of Distribution System Operator and of End
Users Supplier is expected soon. Moreover, adoption of the new Law on Public-Private Partnerships and Concessions (Official Gazette of the RS no. 88/2011) (hereinafter: PPP Act) increases security for foreign investors
willing to take on and handle projects jointly with the local authority. Finally, it should be noted that Serbia became a founding member of the International Renewable Energy Agency (hereinafter: IRENA).


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