One of the main supporting mechanisms referring to renewables in Albania is the feed-in tariff. The tariff currently only applies to small and medium hydro power plants up to 15 MW. Small hydropower plants (below 15 MW), solar plants up to 2 MW and wind plants up to 3 MW benefit from 15-year power purchase agreements and feed-in tariffs (FiTs). In 2017, the FiT for solar plants up to 2 MW was set at €10c/kWh.
A new law referring to renewables was adopted in 2017. Households and small businesses will be allowed to develop renewable projects up to 500 kW and inject the surplus of electricity into the grid acording to the net metering scheme. In adition, large power producers (over 100 MW) are required to generate at least 2 % of their production from renewables.
A competitive auction process for renewable projects over 2 MW to sign 15-year contracts for difference was also introduced, The first auction for a 50 MW solar PV plant was launched in August 2018.
Another main supporting instrument for Albania’s renewable energy sources is a feed-in tariff.
Last update: 09 2020