The Government of the Republic of Croatia enacted the Decree on the Quotas for Incentivising the Production of Electricity from Renewable Energy Sources and Highly-Efficient Cogeneration (“Decree”) on 14 May 2020, which sets the total quotas of government-sponsored incentives (feed-in and premium tariffs) for development of renewable energy electricity production facilities.
The quotas are defined as the total connection power of production facilities eligible to bid for incentives and are presented in kW. The total amount of quotas is set to 2,265,000 kW, out of which 1,075,000 kW should be for solar and 1,050,00 kW for wind power plants. The feed-in tariffs would be available only to electricity production facilities connection power of up to 500 kW, while all other facilities may apply for premium tariffs. These numbers should apply for the period 2020-2022. Specific public tenders to be launched in this period would set out the exact amount of quota per production facility and type of incentive (feed-in or premium tariff).
Currently, the tenders would be open for projects in a ready to build phase. However, Croatia plans to amend the legislation governing tenders so as to open them for projects that have in place a valid location permit (moving the eligibility to earlier development phase).
With the enactment of this Decree, it is expected that the first public tenders for awarding the feed-in and premium tariffs (as applicable) will be launched in the next couple of months, provided that the COVID-19 situation in Croatia remains under control.