Chapter 4

PRODUCTION OF RENEWABLE ENERGY

Article 17: Stimulation of the production of renewable energy is done by:

1. development of schemes to support production and consumption of renewable energy, gas from renewable sources in transport and liquid fuels of biomass

2. development of support schemes for the production and consumption of energy from biomass, when used high technology to protect the environment and produces energy on the base of highly effective method

3. development of joint support schemes with other Member States of the European Union to support the production and consumption of energy from renewable sources

4. financing activities and projects for producing energy from renewable sources and for the use of renewable energy in final energy consumption by fund “Energy efficiency and renewable sources” and from other financial institutions

5. contracts with guaranteed results under the Law for energy efficiency, involving the use of renewable energy

Article 18 (1) The production of electricity from renewable sources, including electricity from combined production of heat and/or cooling energy and power from renewable sources is promoted through:

1. providing guaranteed access for electricity produced from renewable sources to electricity transmission and distribution nets, meeting the security criteria set by the rules of art. 83 of the Law on Energy

2. guarantee the transmission and distribution of electricity produced from renewable sources, meeting the security criteria under item 1

3. providing the construction of necessary infrastructure and electricity capacity to regulate the power system

4. providing priority dispatching of electricity produced from renewable sources, meeting the security criteria under item 1

5. purchase of electric energy produced from renewable sources for a period defined within this law

6. determining the preferential price for purchasing electricity generated from renewable sources including energy produced from biomass through direct combustion technologies, excluding energy produced by hydroelectric plants with total installed capacity exceeding 10 MW

7. determining the preferential price for the purchasing electricity produced from biomass when thermal gasification technologies are used; the price may not be lower than 30 percent over the preferential price, determined for electricity produced from biomass using wood waste and other technologies through direct combustion with combined cycle

(2) The indicatives under paragraph 1 item 5, 6, 7 and procedure for connection to the grid under section II and art. 31 and 32 do not apply to energy facilities for production of electricity from renewable sources, which are declared after the date of the report of the Minister of Economy, Energy and Tourism under art. 13, paragraph 1, in which it said that the overall national goal under art. 12, paragraph 1 is achieved

(3) The production of heat and cooling energy from renewable energy sources is promoted through:

1. Support and implementation of projects for construction of heating networks in the cities eligible for a separate territory of art. 43, paragraph 7 of the Energy Act, when economic expedience of consumption of thermal energy from renewable sources if proven and a preliminary investment project for its production is provided

2. Support and implementation of projects for construction of small decentralized systems for heating and/or cooling energy

3. Connection of sites for production of heating energy from renewable sources to the heating distribution net and purchase of the heat energy produced by another heat energy producer from the head distribution company under the conditions in the Energy Act and the ordinance under article 125, paragraph 3 from the Energy Act, when the latter is technically possible and economically appropriate.

(4) Production of gas from renewable sources is promoted though:

1. Providing guaranteed access to transmission and distribution system meeting the security criteria proposed by the operators of the gas transmission and distribution systems and approved by SCEWR.

2. guarantee the transmission and distribution of gas produced from renewable sources, meeting the security criteria under item 1

3. Non admission of discrimination in respect of gas from renewable sources in determining the fees for transmission and distribution through the transmission and distribution system

4. Publication of the tariffs for connection of sites for gas production from renewable sources by the operators of gas transmission and distribution systems

5. compulsory purchase of gas from renewable sources with a certificate for quality and pressure under a contract with the public provider or/and end suppliers on preferential prices, determined by SCEWR

(5) implementation of investment intentions in art. 3 is supported financial when with the project is achieved significant reduction of energy consumption, are applicable the provisions of the Law of the technical requirements for products and deductibles of the municipality and/or the person concerned. In determining the conversion efficiency and the ratio of energy output to primary energy of the systems and the equipment, procedures of the community are used; in the absence of the latter international procedures are used.

Article 19 (1) investment intentions for the construction of energy facilities for production of energy from renewable sources are preceded by an assessment of availability and estimated potential resource of the power of renewable source which is intended to be used in the production of energy in future energy facility

(2) The provisions under paragraph 1 do not apply for:

1. construction and commissioning of energy projects for production of electricity from renewable sources with total installed capacity to 30 kW including the roof and wall structures of buildings and the property to them within the urban areas

2. construction and commissioning of energy projects for production of electricity from renewable sources on roof and wall structures of buildings for production and storage activities and the property to them in production zones with total installed capacity to 1 MW including.

3. construction and commissioning of energy projects or mounting and commissioning of installation for production of heating or/and cooling energy from renewable sources

(3) The conditions and the arrangements for the assessment under paragraph 1 and requirements for persons performing that evaluation shall be determined by an ordinance issued by the Minister of Economy, Energy and Tourism, Minister of Environment and Water and Minister of Agriculture and Food

Article 20 (1) construction of new or reconstruction, major upgrade, overhaul or refurbishing of existing buildings put into service installations for producing energy from renewable sources when it is technically feasible and economically viable

(2) In cases under paragraph 1 at least 15 percent of the total heat and cooling energy needed for the building must be produced from renewable sources by installing:

1. district heating using biomass or geothermal energy

2. individual facilities to burning biomass with a conversion efficiency of at least 85 percent for residential and commercial buildings and 70 percent for industrial buildings

3. solar thermal installations
4. Thermal pumps and shallow geothermal systems

(3) In the preparation of investment projects new buildings or reconstruction, major upgrade, overhaul or refurbishing of existing ones in part “Energy efficiency” under investigation for energy efficiency of existing buildings must analyzed the possibilities of using renewable energy to demonstrate the technical feasibility and economic viability of art. 1. The opportunities analysis for using renewable energy is part of the evaluation indicators for annual energy consumption in the building

(4) Upon realization of projects for modernization of production processes in small and medium enterprises the energy efficiency measures are combined with the commissioning of plants for heat and cooling from renewable sources so to meet the technological needs of the enterprise

(5) Paragraphs 1-4 do not apply to buildings of the armed forces, where the application of these requirements conflict with the purpose of building

Article 21 (1) activities for installation and maintenance of equipment for biomass, solar PV converters, solar thermal systems, heat pumps and geothermal surface systems are made by persons with appropriate qualifications for this

(2) acquisition of skills to perform activities under paragraph 1 is under the terms of the Law on Vocational Education and Training

(3) institutions entitled to realize training for qualification under the Law on Vocational Education and Training are required to submit annually a list of persons in front of Agency for sustainable energy development (ASED) who acquired skills for performing activities under paragraph 1

(4) recognition of professional qualifications acquired in other Member States of the European Union and third countries for performing activities under art. 1 is under the conditions and procedure of the recognition of professional qualifications for providing access and pursuit of regulated professions in Bulgaria

(5) State educational requirements for professional qualification “installer” for activities under Art. 1 and period of validity of documents certifying the existence of such qualification is determined by an ordinance issued together by Minister of Education, Youth and Science and Minister of Economy, Energy and Tourism

Section II
CONNECTION TO THE GRID OF ENERGY PROJECTS FOR ELECTRICITY PRODUCED FROM RENEWABLE SOURCES

Article 22 (1) By 28 February each year operators of distribution grids annually submit to the transmission grid operator the planned one year ahead electric powers that can be given for connection to distribution networks of sites for electricity generation from renewable sources by regions of connection and the voltage levels

(2) Operator of the transmission grid based on 10 year plan for development of the transmission net and the annual proposals under art.1 provides to SCEWR and the Minister of Economy, Energy and Tourism estimates of electric powers for one year period that can be given for connection to the transmission and distribution grids for sites producing electricity from renewable sources by regions of connection and the voltage levels

(3) The estimates under art. 1 and 2 are developed on the base of the purposes in National Renewable Energy Action Plan and data for:

1. The concluded preliminary contracts

2. Report and forecast electricity consumption

3. transmission capacity of the networks

4. opportunities for balancing the power in the power system

(4) Minister of Economy, Energy and Tourism within one month of receipt of proposals under paragraph 2 sends to SCEWR opinion about proposals’ accordance with National Renewable Plan Action Plan

(5) SCEWR approves annually by 30 June and published in its internet site estimated for the one-year period from July 1, electric powers that can be connected to the transmission and distribution grid of sites for production of electricity from renewable sources by regions of connection and the voltage levels

(6) Terms and conditions for preparing the estimates under of Art. 1 and 2 are governed by the ordinance under art. 60 of the Energy Act

Article 23 (1) persons who wish to build an energy facility for production of electricity from renewable sources or to expand an existing power plant or to increase the installed electric power of the plant for electricity production from renewable sources submit to the operator of the grid application for connection in the region, pointed by them, approved under art. 22, paragraph 5

(2) Application of art. 1 shall be submitted after approval of the electrical power that may be available for connection, until the one year period under art. 22, paragraph 5

(3) operator of the grid consider the applications in order of enrollment and with a reasoned opinion pronounce the admissibility of each application within 14 days of its enrollment

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