- High electricity price in Belgium, UK and Spain
Biopower investments take off: "To fulfill Kyoto commitments the European Union Member States have taken in use several measures of support to promote renewable energy production, especially electricity.
Tougher emission limits, emissions trading, new laws in force and subsidies are raising the feed-in price of green electricity. The higher price shortens the payback period of small-scale cogeneration and electricity only plants investments and makes it more profitable and commercially attractive.
As a consequence, the investment scene is changing. Besides utilities also private persons, SMEs and associations are interested in investing in small-scale CHP using biofuels. There are clear signs that the investments take off.
Helge: This is an interesting market scene development. The customer base is expanding.
The threshold price for competitive electricity production in small-scale CHP is 100 €/MWh. Today the price in Austria is about 150 €/MWh, in Germany 130 €/MWh and in Portugal 110 €/MWh. The prices are feed-in or price per unit of electricity that a utility or supplier has to pay for renewable electricity from private generators.
In Belgium and in the UK the price of electricity has also become so high that investments are competitive. Spain has an ambitious program for increasing production of bioelectricity six-fold from the current 500 MW. France and Italy are expected to take notable steps towards higher feed-in prices."