Albania has implemented electricity feed-in tariffs to incentivize the development of renewable energy projects. These tariffs provide a fixed payment to renewable energy producers for the electricity they generate and feed into the grid. The specific feed-in tariff rates vary depending on the type of renewable energy source, such as wind, solar, or biomass. These tariffs are designed to promote investment in renewable energy projects and support the country's transition towards a more sustainable and diversified energy sector.
One of the main supporting mechanisms referring to renewables in Albania is the feed-in tariff. Public utility is obliged to purchase electricity from renewable energy sources for a tariff set by the Albanian Energy Regulator (Art. 22, § 4, Renewable Energy Law). The tariff is granted for 15 years (Art. 9, § 8, Renewable Energy Law).
- All small-scale renewable energy plants are eligible for a support in terms of a feed-in tariff.
- Wind energy plants not exceeding 3 MW are eligible.
- Hydro power plants up to 15 MW are eligible (Art. 3 § 1 (j) Renewable Energy Law).
- PV plants up to 2 MW are eligible.
- All legal and natural persons registered in Albania are addressed by this regulation
- The power purchase agreements are signed for 15 years (Art. 9, § 8, Renewable Energy Law).
- Distribution of costs:
- The costs of the feed-in tariff for electricity produced from renewable energy sources are borne by the final consumers (Art. 11 Renewable Energy Law).
- ERE approves the fee for the end consumer for the costs resulting from the feed-in tariff. The operator assigned by the Council of ministers is responsible for the collection of money from energy suppliers and the payment to the producers eligible for support. (Art. 11, Renewable Energy Law)
Last update: 07 2023