BGN 1.2 billion will be released for electricity batteries within days, priority will be given to projects with ready permits (Overview)

by times news cr

2024-08-15 18:59:34

Within days – on August 16, the application measure under the procedure “National infrastructure for the storage of electricity from renewable sources” (Restore) from the restoration plan must be announced with a deadline for submission of proposals of 90 days, that is, until November 16. Preference will be given to projects with ready permits.

This was announced by Energy Minister Vladimir Malinov on Wednesday during a meeting of the Energy Commission in the Parliament.

The purpose of the measure is to build a network of battery farms that will enable renewable sources to store electricity during periods of overproduction and thus help to balance the electricity system.

Malinov recalled that on June 25 of this year The Ministry of Energy has published for public discussion the conditions for applying and implementing investments under the procedure.

“The contracts must be concluded in January. This is the deadline in which we have to deal with and we cannot afford a delay”, the minister was categorical. The total amount of grant funding under the project is BGN 1,179,365,490,

and the ultimate goal is to store 3,000 megawatt hours

The Chairman of the Energy Commission, Delyan Dobrev, expressed his concern that the procedure does not allow investments in the distribution network, but only in high voltage networks.

“Furthermore, I think that the candidates will not meet the deadlines that have been set, with which our country risks losing funds under the plan”, Dobrev addressed the minister and added that it is a common practice when there are doubts that they will not the funds are absorbed, to be over-contracted by 25%.

“If your budget is 590 million euros, it is possible for you to out-contract it, so that we can be sure that we will absorb the maximum part of this money,” said Dobrev.

However, Malinov replied that instead of over-contracting, something else will be done: in the first third of the procedure period, only projects for which construction permits have already been issued will be allowed. In the event that such applicants are not available, projects for which a construction permit has not yet been issued will also be included from a reserve list.

The chairman of the Commission for Energy and Water Regulation (KEVR) Ivan Ivanov said that it is being discussed to introduce it

a fee of BGN 50,000 for 1 MW of installed battery capacity

The purpose of the guarantee is to prevent abuse of the European funds granted under the program.

According to Delyan Dobrev, this is imperative because investors without knowledge may appear who will apply and, after winning a project, will sell it.

However, the amount of BGN 50,000 is still not final, a public discussion is pending, it became clear from Ivanov’s words.

“We are trying to equalize the energy objects, because then there will be the least pressure in one direction or the other,” he added.

After finalizing the project, the Electricity System Operator (ESO) should refund the amount to the investor.

The Minister of Energy stated that, in principle, his department supports the proposal, but it must be adopted in a short period of time, taking into account the period for submission of proposals for the measure.

When it was released for public discussion, the Ministry of Energy clarified that this procedure is not

only for large PV companies,

and for any company interested in operating battery farms.

The MPs also listened to Malinov on the occasion of yesterday’s action by the European Prosecutor’s Office at Bulgartransgaz, where it became clear that a project financed with European money was being checked. A little later, it became clear that this project was the “Chiren” gas storage facility.

“Rather, the focus is on part of the project, namely on the construction of the drilling fund”, Malinov told the deputies.

He said that the inspection lasted for more than 10 hours and within it the employees and management of “Bulgartransgaz” provided full assistance to the authorities.

Precisely because of this and until all the facts of the case are clarified, Malinov has ordered a temporary suspension of the contract for the expansion of the gas storage facility.

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